3 March 2005

U.S. court shuts gate on our beef

The following article is excerpted from the 3 March 2005 edition of the “Toronto Star”.

Canadian ranchers angrily condemned a Montana judge's decision to delay the resumption of beef exports as federal officials tried to soothe fears the dispute could drag on for weeks or even months.

The United States border, which was slated to reopen on Monday, has been closed to most Canadian beef products since May 2003 over fears concerning the spread of mad cow disease.

The beleaguered Canadian beef industry's hopes of respite were dashed yesterday when a temporary injunction was granted to a Montana lobby group fighting the U.S. Department of Agriculture's (USDA) decision to allow Canadian exports.

R-CALF United Stockgrowers of America sued the U.S. government last month to keep the border closed, the court will now schedule a hearing for a permanent injunction.

Cattle industry leaders were openly frustrated by the decision, calling it yet another example of politics trumping science. The Canadian beef industry has suffered mightily through the U.S. ban and pegs its total losses at $7 billion.

"These guys are trade protectionists and that's all it is," Alberta feedlot operator Ryan Kasko said of the R-CALF group.

"From a scientific perspective, for them to argue that the Canadian cattle are going to hurt their market is just ridiculous."

Kasko Cattle Co., which has two feedlots containing 25,000 cattle, was poised to begin shipping animals to packing plants south of the border next week under strict new export guidelines.

"All of sudden that's going to get put on hold for an undetermined time," a Kasko spokesperson said in a telephone interview from Coaldale, Alta., 220 kilometres southeast of Calgary. "Hopefully, it's only going to be a couple of weeks."

Federal Agriculture Minister Andy Mitchell described yesterday's decision as a "procedural roadblock" but said it's too soon to speculate on how long the border will remain closed.

"We're very disappointed in the ruling," said Mitchell, adding the U.S. government supports Canada's arguments to resume trade. "(But) this is not a decision of the U.S. government ... this is a decision by one judge in one district court in the state of Montana."

In Washington, U.S. Agriculture Secretary Mike Johanns said he stood by his decision to open the border next week….

Despite Johanns' assurances, a USDA official conceded there is little prospect of the border opening on schedule, adding a decision whether to appeal would come after U.S. District Court Judge Richard Cebull releases his written ruling today….

While ranchers seethed, other industry groups said little is clear about the decision's impact, including whether the border will be closed as a result.

Ron Glaser of the Alberta Beef Producers the cattle industry hopes to get a better understanding today with the release of the judge's written reasons.

"We're still convinced that based on science the decision to re-open the border will be proven a sound one once it's had its day in court," Glaser said in an interview from Calgary.

Nevertheless, yesterday's decision wasn't altogether unexpected in some quarters.

"We knew in the back of our minds this could happen but it's another blow," auctioneer Blair Vold said in an interview from Ponoka, Alta. Prices at a live sale at Vold's place in central Alberta dropped five cents per pound immediately after the decision was announced….

And last week the USDA released a report that gave a passing grade to Canada's feed system, which is considered a key factor in the spread of mad cow disease. Canada has reported a total of three cases of the disease, which falls within international guidelines for so-called "minimal risk" countries.

But Johanns is facing a mounting backlash on Capitol Hill.

Democratic Senator Byron Dorgan of North Dakota hailed the court decision as "just what the doctor ordered.''