Posted on 07/08/2004 5:18:20 AM PDT by SB00
PM beefs at U.S. ban Says `special interests' are keeping border closed to cattle Warns Canada may have to go after American export markets
GRAHAM FRASER NATIONAL AFFAIRS WRITER
OTTAWA—Prime Minister Paul Martin says American special interest groups are blocking a solution to the mad cow crisis and warned that Canadians are planning to fight back.
Martin spoke to a business conference in Sun Valley, Idaho, yesterday about major trade disputes between the two countries.
The American border has been closed to live Canadian cattle since May 20, 2003, when a single Black Angus in Alberta was found with bovine spongiform encephalopathy (BSE). That discovery has cost the Canadian cattle industry more than $2 billion.
Martin minced no words in denouncing what has gone on south of the border. His office released a text of his remarks to the closed conference.
"Special interests in the United States are blocking your government from a joint solution," Martin said, pointing out that the closed border is threatening the existence of an integrated North American cattle industry that has functioned effectively for years.
"Beef prices (in the U.S.) are at an all-time high because Canadian beef is no longer coming in, and (small cattle producers) are enjoying very huge profits," he said. "Obviously, in a year in which there is a U.S. election, (in November) there is huge pressure being brought to essentially keep that border closed. The problem is if this persists, decades of investment in an integrated industry will simply unwind."
Martin said the U.S. would suffer from the international competition that would result from the disintegration of a single North American industry.
"What Canada is going to have to do pretty soon if that market does not open is start to build massive processing capacity in Canada," he said.
"Then when the market opens, you're going to have huge overcapacity in processing, a lot of it north of the border competing with you here."
Martin said this would strike at the heart of U.S. beef export markets.
"If the border does not open, then that processing capacity is going to go and start major shipments to Japan and Korea, who are your major markets."
"In other words, the advantage of the North American market is that we have a rational system, and when you begin to tamper with that market, what you then do is effectively hurt both of us."
A solution, he said, is in the interests of both Canada and the United States.
"So it simply seems to me to be common sense and good public policy to adopt a continental perspective when dealing with BSE, and the sooner the better."
Canada's western premiers began meeting yesterday in Inuvik, N.W.T. When they met a year ago, they said if the border wasn't open by Labour Day this year, the country's cattle industry would be ruined forever.
Martin also talked to the business leaders about what Canada is doing to protect itself from global terrorism.
"Our adversary could be operating in the mountains of Afghanistan and the cities of Europe, but our adversary could easily exist right now within our borders. There's no home front. The conflict is not over there, and that means that threats by land, by sea or air, can enter North America at any point and threaten all."
Martin told the Americans Canada has worked hard to improve security.
"It is interesting that the United States has obviously had huge problems. So have we. Almost every country had a series of different security agencies, none of whom had it seemed ever occurred that they should talk to each other, and so essentially what one of the major revolutions that have occurred is simply getting them compatible, with compatible systems, and ability to exchange information. We have done that."
Martin also talked about the softwood lumber dispute between the two countries, saying it is adding $4,000 to the cost of every U.S. home being built.
Martin made the case against U.S. protectionism at a time when protecting U.S. jobs is likely to be a major theme in the U.S. presidential campaign.
"The answer to outsourcing, the answer to the cheaper labour costs in places like China and India is not protectionism. It is greater competitiveness here in North America in those areas where we can be world leaders," he said. "And that means in turn that we have got to make our continent more efficient, and that, in turn, requires a concerted effort on the part of all three North American countries to promote the freer movement of goods, services and capital within the NAFTA market."
Martin argued there were other areas where Canada and the United States should see each other not only as important partners or friendly neighbours, but as joint stewards of North America.
He cited the electricity grid — last August its failure plunged Ontario and the northeastern United States into darkness — and the environment, where the two nations pollute each other's air and water.
Martin said the blackout "was a management failure between the two countries. Simply not making sure the system was up to date and making sure it was properly monitored. It's also, as somebody said, one way of reversing our declining population, but I think it is a very expensive way of doing it."
Also - Come on Prime Minister, you seem to say the right things about security, but don't just talk about it - DO SOMETHING about it.
This is the same Canuckistan that hates us but whines we're not buying from THEM? Screw 'em and let them keep their beef.
Don't really agree with the PM, but the American consumer will get better prices if imports are permitted, and I don't see any reason to keep them out. Mad cow is under control.
"You better take our beef or you'll be sorry! We may be forced to develop a massive beef processing industry, emplying thousands of Canadians! Then, we will export our beef! Our exports will soar! Money will pour into Canada from Japan and Korea! We will become rich and successful as international beef tycoons!! Now, I know you don't want THAT to happen! So ... please ... take our beef? Please??"
With a possible 100 new cases of Mad Cow Disease in the US, as reported earlier this week. I don't think so. The media is just not telling us about the real problem just before elections. If they did we would probably end up electing anyone that is not republican or democrat.
They newly reported cases were confirmed non-existent with subsequent tests. Let's face it, the border doesn't have anything to do with mad cow anyway. There was a reported case on both sides of the border, and the mad cow precautions are pretty much the same whether you are a Canadian or an American rancher. If we are going to block Canadian beef, then perhaps we should seal off certain portions of the US.
>when a single Black Angus in Alberta <
...
Anyone who believes this incident was limited to a single animal, is dreaming.
Even though Canada has gone to the socialist dogs, the business community there is very savvy. WIth all the rules, regulations, and government interference, they have to be savvy in order to survive. The PM is saying is that the U.S. processes Canadian beef for export to third counries. If the border doesn't reopen, then the Canadian beef industry will start processing in Canada and compete with the U.S. in the export business. In other words, open your market to our cattle and make money adn provide jobs in the processing, or we'll process it ourselves and undercut your export market. Sounds like a good negotiating position to me.
>or we'll process it ourselves <
Why do you need permission of the US to do so?
What are you waiting for?
Even though I didn't vote for the guy, I agree with his above statment.
Who is he to talk about buying Canadian beef when his stupid and emphasize on the word "stupid" Liberals bought beef from Uraguay(sp?) to feed ALBERTA prisoners INSTEAD of Alberta beef. He like Chretien talks from both sides of his mouth.
He is nothing but a hypocrite, let's pray that his government falls within a year. This sorry SOB should have been gone a long time ago. But Urban Ontario saved his sorry butt.
Sounds good, but will these orther foreign countries take canadian Mad Cow Beef at any price?
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