Resolution to lumber dispute possible: U.S. envoy
theglobeandmail.com
By ROMA LUCIW
Globe and Mail Update
Tuesday, November 20 – Online Edition, Posted at 4:47 PM EST
A U.S. negotiator offered hope Tuesday that the long-standing softwood lumber dispute between Canada and the U.S. can be resolved quickly and without litigation, saying that differences in history and tradition divide the two systems.
"We have been learning, we have been corrected on our misunderstandings on occasion. There are challenges that come from different customs, traditions and histories that we are trying to make sure we bring definition to," Marc Racicot, special U.S. envoy said Tuesday.
Mr. Racicot spent the day in Vancouver meeting with British Columbia Premier Gordon Campbell and other provincial representatives from the forest industry.
Although a deadline for resolution was not set, Mr. Racicot called the dispute an "urgent issue" and said he hopes "to move to a resolution other than litigation as soon as possible."
Today's talks were the latest in a series of negotiations since the Bush administration slapped Canada with combined preliminary duties of more than 32 per cent on Canadian softwood lumber.
The duties, which are not due to become final until May 16, are costing Canadian producers more than $270-million a month. In the meantime, Canadian companies must post bonds to cover the duties.
Last Friday, Canadian and American negotiators agreed to meet again in 10 days after talks in Washington exposed a vast chasm between what the United States wants and what Canada is ready to give.
The main sticking point at the time was the reluctance of British Columbia to move far enough toward a free-market timber pricing system.
Despite past failures to reach an agreement, Mr. Racicot said he believes a solution is possible.
"Under the law of the United States, we are to address issues that have to do with open fair trade based upon free market principles. I believe there is a possibility we can do that and I think Canada believes that too," he said.
Mr. Racicot added that although it was possible that the U.S. federal government could impact the process in way that could fulfill the expectations on both countries, he did not expect that would happen.
Mr. Campbell also provided an upbeat view, calling Tuesday's discussions "a positive platform that we can move forward on.
We are looking forward to resolving this by Christmas, if possible."
British Columbia provides roughly half of this country's $10-billion U.S.-bound softwood lumber export.
Last week, B.C. Forests Minister Mike de Jong warned the two sides were nearing an impasse, and that only intervention by U.S. President George W. Bush could salvage a deal.
The United States has accused Canadian companies of dumping cheap wood on the U.S. market. They say Canadian provinces illegally subsidize lumber companies by charging them to less for the timber they harvest from Crown land.
In the United States, most timber is sold at auction. |
