action is the adoption of end-use certificates for use on imported 

 grain. This action would guarantee the integrity of U.S. export pro- 

 grams, an action expected of us by the American public. 



Finally, the time has come to negotiate an end to unfair trading 

 practices and the use of export subsidies on commodities sold on 

 the North American continent. We must bring the Canadians to 

 the table, and we must remain there until this problem is resolved 

 once and for all. 



Again, we are on the verge of voting on this momentous agree- 

 ment. In the days before the vote, we have the unique oppor- 

 tunity — in my opinion, absolutely unique — to improve agricultural 

 trade with Canada and Mexico, to eliminate the problems which 

 previous negotiators have not addressed. We can fire the final shot 

 in the Canadian wheat war, or we can retreat. In the best tradi- 

 tions of American history, I urge the administration to fire that 

 final shot. Let's put an end to this finally so we can pass NAFTA 

 and also get some more sanity in the market and end the unfair 

 Canadian subsidies. 



Thank you, Mr. Chairman. 



The Chairman. Thank you. I don't want to cut anybody off, but 

 I would urge members to keep opening statements brief. We are at 

 some point going to be finishing up the HUD bill. We are trying 

 to do this hearing and finish by 4:30. But I don't want to cut off 

 any questions, especially of the two key witnesses, Secretary Espy 

 or Ambassador Kantor, this afternoon. We will ask questions as 

 long as there are members who wish to ask questions of those two 

 members before we go to the other panels. 



Senator Conrad. 



STATEMENT OF HON. KENT CONRAD, A U.S. SENATOR FROM 



NORTH DAKOTA 



Senator Conrad. Thank you, Mr. Chairman. Let me just say that 

 this is a critical issue for the people that I represent. As I said in 

 the Finance Committee the other day, I am not certain this agree- 

 ment is good for our country. 



I am certain that as it stands it is not good for my State. 



I say that because North Dakota is on the front lines, along with 

 Montana, in terms of what we have faced with the so-called Cana- 

 dian Free Trade Agreement. We have faced an unfettered flood of 

 Canadian grain into my State, Durum and Spring wheat. Imports 

 of both have grown dramatically as a result of the defects of that 

 agreement. Failure to act now will do irreparable damage to the 

 U.S. wheat market and our wheat producers. We simply must seize 

 this opportunity to act. 



As I look at this agreement, the concerns that I have that are 

 directly affected by the agreement are wheat and barley coming in 

 from Canada. As I have indicated, we have seen the shortcomings 

 of the Canadian Free Trade Agreement lead to truck after truck 

 after truck of Canadian grain coming into our State, not because 

 they are more competitive, not because they are more efficient, but 

 because of loopholes in that agreement. It is time to address them. 



I have called for a Section 22 action against Canada. There is no 

 question in my mind that they are dumping at below their cost into 

 our market. No question in my mind. They have gone from per- 



