PM rebukes cattle aid for fear of setting precedent

KELOWNA, B.C. (June 12, 2003) — While he says he’s sympathetic to workers in the beef and cattle industry who have had their export business crippled due to a ban on Canadian beef, Prime Minister Jean Chretien still won’t commit to a $400-million disaster-relief package proposed by the four western premiers.

B.C. Premier Gordon Campbell, who is chairing the annual western premiers’ conference, spent more than 15 minutes speaking with the PM about the aid to beef producers, meat packers, and haulers. While Chretien was fully aware of the disastrous long-term economic impact the mostly-western industry faces, he would only commit to further discussions at a later date, Campbell said.

“He is concerned about the precedents that may be set,” Campbell told local media. “I’ve pointed out to him that by Aug. 31 there would be historic restructuring of this industry, if not the disappearance of the industry in Canada.”

Tens of thousands of head of cattle have been stranded on range land and in feedlots since the U.S. and other countries closed the border to all beef exports after a single cow was found to contain mad cow disease three weeks ago.

Industry officials fear that the bigger and fatter those cows become, the less likely they can be sold later and revenue from them recouped. Others predicted earlier this week the beef industry would collapse by the end of August unless the Canada-U.S. border was reopened.

–with files from CP