Senator Olympia J. Snowe

SNOWE PETITIONS COMMERCE SECRETARY EVANS TO EXAMINE IMPACT OF CANADIAN TRADE RESTRICTIONS ON POTATO INDUSTRY

Senator Cites Expanded Canadian Production Crop, Restrictions to Canadian Markets by U.S. Growers

Contact: Antonia Ferrier/ (202) 224-5344
Wednesday, July 21, 2004

WASHINGTON, D.C. – U.S. Senator Olympia J. Snowe (R-Maine) today petitioned the U.S. Department of Commerce to examine the impact of Canadian trade restrictions on U.S. potato producers. In support of the Maine Potato Board, Snowe requested that the Commerce Department’s Unfair Trade Practices Task Force evaluate the Canadian system of antidumping duties against producers from the United States, in a letter to Commerce Secretary Don Evans. The National Potato Council submitted an additional request to the Task Force on behalf of the 5,500 producers in the U.S.

“Maine is the third-largest potato producing state in the country - with $293 million in direct potato sales for 2003. The potato industry - from producing to packaging to marketing to shipping - creates more than 6,000 jobs and $540 million in sales in Maine. It is critical to the long-term survival and economic prosperity of both the potato industry and our state that fair and consistent access to the Canadian markets be ensured for our producers,” said Snowe.

A trade deficit in potatoes and potato products occurred in 2001-2002 due to a 38.5 percent increase in volume - a 25.7 percent increase in value - in potato imports with limited export growth.

“Consisting of nearly 5,500 producers in 34 states, the National Potato Council represents a significant and productive industry in the United States. For several years the economic interests of the potato growers we represent have been directly affected by arbitrary restrictions placed on U.S. potatoes that are prohibited from Canadian commerce. The systems for restricting domestic potato growers’ access to Canadian markets are deeply rooted in the Canadian regime and may conflict with international trading rules,” the letter to Secretary Evans read.

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