The Honourable Stockwell Day, Minister of International Trade and Minister for the Asia-Pacific Gateway, and the Honourable Gerry Ritz, Minister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board, announced that the Government of Canada is requesting the establishment of a World Trade Organization (WTO) dispute settlement panel on the issue of South Korea’s continuing ban on the importation of Canadian beef.
“Recent consultations with South Korea on its Canadian beef ban regrettably did not produce the desired results,” said Minister Day. “Our request today for a WTO panel demonstrates our ongoing commitment to resolving this issue and defending the interests of Canadian producers.”
“Canadian ranchers produce beef that meets the highest safety and quality standards in the world,” said Minister Ritz. “This government has made it clear to South Korea that we will defend Canadian ranchers, and I delivered that point in person during my trip to Seoul in March 2009. The international scientific community recognizes that Canadian beef is safe, and we are confident a WTO dispute panel would rule in our favour.”
In May 2003, South Korea banned imports of Canadian beef after bovine spongiform encephalopathy (BSE) was discovered in a Canadian cow. Before the ban, South Korea was Canada’s fourth-largest beef export market, valued at $50 million in 2002.
In May 2007, the World Organisation for Animal Health (OIE) officially categorized Canada as a “Controlled Risk” country for BSE, recognizing the effectiveness of Canada’s surveillance, mitigation and eradication measures. The OIE reconfirmed this categorization in May of 2008 and 2009. The “Controlled Risk” categorization allows for the safe trade in all beef and cattle under conditions that Canada can meet.
On April 9, 2009, Canada requested WTO consultations with South Korea on this matter. The consultations, held on May 7, did not resolve the issue.
The WTO panel will be asked to determine whether South Korea’s continuing ban on Canadian beef is consistent with its international trade obligations under the WTO. It is Canada’s view that South Korea’s continuing ban is a violation of its WTO obligations in that the ban is not based on the relevant international standards or on science, and that it is discriminatory and restricts trade more than necessary.