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Resolving Canada-U.S. Trade Disputes in Agriculture and Forestry: Lessons from Lumber

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  • Jeffrey Biggs
  • Susanna Laaksonen-Craig
  • Kurt Niquidet
  • G. Cornelis van Kooten

Abstract

Prominent trade disputes between Canada and the U.S. involve agriculture and forestry, with lack of transparency caused by Canadian non-market institutions a source of U.S. objections. Though there has been a recent flurry of activity in the binational dispute resolution panel on Canadian exports of wheat, one of every six panels since 1989 has involved softwood lumber. We examine lessons from the lumber dispute to shed light on U.S. objections to the Canadian Wheat Board (CWB). We argue that U.S. lumber lobbyists will continue to use perceived Canadian institutional obscurity to keep pressure on policymakers, while the CWB system enables similar agricultural interests in to agitate for trade sanctions. Traditional strategies such as dispute resolution boards, appeals to the WTO, and bilateral policy reform can only buy Canada time – new strategies are needed if Canada is to maintain sovereignty over its trade institutions.

Suggested Citation

  • Jeffrey Biggs & Susanna Laaksonen-Craig & Kurt Niquidet & G. Cornelis van Kooten, 2005. "Resolving Canada-U.S. Trade Disputes in Agriculture and Forestry: Lessons from Lumber," Working Papers 2005-03, University of Victoria, Department of Economics, Resource Economics and Policy Analysis Research Group.
    • Handle: RePEc:rep:wpaper:2005-03
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    References listed on IDEAS

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    Cited by:

    1. Sylvanus Kwaku Afesorgbor & Eugene Beaulieu, 2021. "Role of international politics on agri‐food trade: Evidence from US–Canada bilateral relations," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 69(1), pages 27-35, March.

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    More about this item

    JEL classification:

    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry
    • Q27 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Issues in International Trade

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