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Strangled by subsidies.

Publication: The Register-Guard (Eugene, OR)
Publication Date: 30-MAR-04 		Format: Online
Delivery: Immediate Online Access
Full Article Title: Strangled by subsidies.(Editorials)(Canada's system floods U.S. lumber market)(Editorial)

Article Excerpt
Byline: The Register-Guard

Suppose the U.S. Forest Service gave an American company the exclusive long-term right to feed its sawmill with logs harvested from a tract of federal land, and agreed to charge a floating price for the timber to guarantee that the company would always make a profit. Suppose further that the Forest Service required the company to maintain a consistent level of production, reducing the price of logs to whatever level was necessary to keep the company afloat during periods of low demand.

Competitors, environmentalists and taxpayers alike would cry foul, and rightly so. Yet that's how the Canadian timber industry operates. Canadian lumber producers' risk-free partnerships with their government explains why Canadian lumber exports to...

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