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World Trade Situation and Policy Updates
Canada Delays Enforcement of Import Ban on "5 a Day" Logo until September 1, 2002
Following close consultations between both U.S. and Canadian industry and government officials, the Canadian Food Inspection Agency (CFIA) has notified USDA that it has decided to delay until September 1, 2002, its announced ban on prepackaged produce from the United States bearing the "5 a Day For Better Health" logo. Based on the commitment of U.S. shippers to bring all packaging into compliance with Canadian requirements, the CFIA has decided to approve the use of the logo on prepackaged fresh fruits and vegetables to minimize trade disruptions during this transition period. Over the next 10 months, the CFIA will issue warnings to Canadian receivers when product is found to be in violation. But, effective September 1, 2002, the CFIA will fully apply Canadian requirements on violations. However, on a positive note, Canadian officials expressed interest in opening a dialogue to form a bilateral industry/government task force to examine our respective food labelling requirements.
Canada Initiates Anti-dumping Investigation Against U.S. Fresh Tomatoes
On November 9, 2001, the Canadian Customs and Revenue Agency (CCRA) initiated an anti-dumping investigation against imports of fresh tomatoes from the United States, excluding tomatoes for processing. The CCRA investigation is in response to a complaint filed by the Canadian Tomato Trade Alliance (CTTA) of Vancouver, British Columbia, which alleges that fresh tomatoes from the United States have been dumped in Canada. The period of the investigation is from October 1, 2000, to September 30, 2001. As a result, the Canadian International Trade Tribunal (CITT) will conduct a preliminary inquiry to determine injury and must make its decision within 60 days. The CCRA has 90 days to make a preliminary determination on the extent of the alleged dumping. Should the CCRA make a preliminary determination of dumping, the Agency must make a final determination within 90 days of the date of the preliminary determination. In its complaint, the CTTA estimates the margins of dumping range from 14 percent to 76 percent, as a percentage of normal value. According to U.S Census data, U.S. exports of fresh tomatoes to Canada in CY 2000, totaled 136,872 tons valued at $114 million, up 5 percent in volume and 15 percent in value from the previous year.