U.S.-Canada Quarterly Grain Trade Consultations, August 2000

U.S. and Canadian officials met on August 29, 2000, for grain trade consultations as provided for under the Record of Understanding and Action Plan agreed to between Canada and the United States. Since January 1999, the two sides meet quarterly to exchange information on grain market developments and prospects.

The consultations, as set out in the Action Plan, provided an opportunity for an open and useful discussion on a wide range of grain trade related topics. Officials reviewed the global market situation, including bilateral grain trade flows, projections for the current year, and discussed a number of measures that could affect the trade. Each side’s projections are based on current and anticipated market conditions, and may need to be revised as harvest progresses and more is learned about the quality and quantity of crops in the two countries.

With respect to bilateral trade, 2000/2001 cross-border grain trade projections indicate Canadian wheat shipments, including durum are projected to recover from the 1999/2000 reduced level. U.S exports to Canada are expected to remain flat from the 1999/2000 levels, with the exception of corn, which is expected to increase (See attached tables*). The projections which were discussed are each side’s views of how markets are likely to evolve and are not commitments.