WINDSOR - Fed up corn growers from Ontario, Quebec and Manitoba are asking for a federal investigation into the alleged dumping of American grain corn into Canada.
In what could become a costly trade war, the Canadian Corn Producers are alleging imported U.S. grain corn is selling below its cost of production and U.S. subsidies are depressing the price of corn here and hurting farmers.
"We're very fed up," said Brian Doidge, general manager of the Ontario Corn Producers' Association and spokesman for the Canadian Corn Producers.
The Canadian growers are also asking the federal government to impose duties as retaliation against the United States and to launch a World Trade Organization complaint against U.S. subsidies.
Jacquie LaRocque, a spokeswoman at the office of Minister of International Trade Jim Peterson, said the ministry is considering the request for a WTO case.
She didn't rule out using grain corn for future retaliation but said first the ministry would have to consult with the public and businesses.
Doidge said Canadian grain farmers can't compete against billions of dollars in subsidies that U.S. corn farmers get.
"We've been losing money for years," Doidge said this week. "All three boards decided we have got to start to fight back and try to do something."
The grain corn producers, who grew $1.4 billion worth of corn last year, filed a trade complaint with the Canada Border Services Agency. If the agency decides an investigation is warranted, it could impose temporary duties on imported U.S. corn, Doidge said.
Even the possibility of duties could increase corn prices if users start buying up corn in advance of any price increase. And that might push up the price of products with high amounts of corn, including animal feed, ethanol and hundreds of food products that use corn starch and syrup.Edmonton Journal
