Washington State Potato Commission protests Canadian trade barrier

By DAVE WILKINS

Capital Press

Canada will continue to impose anti-dumping duties on a large share of U.S. fresh-packed potatoes that enter British Columbia.

The Canadian International Trade Tribunal ruled on Sept. 10 that anti-dumping duties should remain in effect on smaller-sized packs of russet and white potatoes.

The ruling was another victory for the British Columbia Vegetable Marketing Commission and another blow to the Washington State Potato Commission, which has been trying for more than 25 years to get the British Columbia anti-dumping duties removed.

During a hearing before the tribunal in Vancouver in July, the Washington spud commission and the Washington state attorney general's office testified against continuation of the duties.

Washington growers contend that the anti-dumping duties help British Columbia potato grower-shippers to routinely fix prices and manage the flow of fresh spuds into the marketplace, stifling competition.

"There is no market dynamic," said Matt Harris, director of trade for the Washington State Potato Commission.

The duties were scheduled to expire this year on Sept. 12, but the trade tribunal's ruling keeps them in effect for another five years.

The tribunal found that removal of the duties "would likely result in injury to the growers of all or almost all of the potato production in British Columbia in the near to medium term," it said in a press release.

During the hearing, some large British Columbia importers joined the Washington State Potato Commission in arguing that the duties should be removed, Harris said.

But in the end, the tribunal again sided with British Columbia potato growers, who have used the tariffs to protect their profits, he said.

"It's a real travesty that our industry is penalized because the B.C. growers are trying to make as much money as they can in that market situation," Harris said.

The British Columbia duties fluctuate depending on the price of potatoes in Washington, Idaho and other Western states.

During the week of Oct. 10-16, the tariff on Washington russets packed in 10-pound consumer bags was $5.46 per hundredweight.

Harris said the anti-dumping duties have resulted in a "significant" loss of business for Washington potato growers the past 26 years, but he didn't have a precise dollar estimate.

The duties are levied against russet and white potatoes packed in 90, 100, 110-count cartons, consumer bags and 50- and 100-pound bags.