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Teen athletes cope with high injury rates /25

Travel show explores weird town markers /33

New Cougars coach eager for season /8
WEDNESDAY, AUGUST 17, 2005

Leonard Cohen in financial ruins /26
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SOFTWOOD LUMBER DISPUTE

Fight U.S. in courts, MP urges
by MARK NIELSEN Citizen sta ff Cariboo-Prince George MP Dick Harris supports the legal route over trade sanctions as the next step in Canada's quest to make the United States back down on the softwood lumber issue. Harris dismissed imposing tariffs on U.S. goods coming into Canada as troublesome. "That might make us feel good, to impose penalties, but the Americans will just reciprocate in some way and first thing you know, we could find ourselves in an all-out trade war," he said Tuesday. Moreover, he said Canada would have more to lose than the Americans. Harris saw brighter light via the legal route and made reference to the so-called 1958 New York convention, which is used to arbitrate international trade disputes. Canada became a signatory in 1986. "Trade wars are messy business. On one hand, it would make us feel good. But on the other hand, the legal route, a lawsuit, is probably the considered way to go," he said. NDP leader Jack Layton says Canada should play "hardball" with the Americans by imposing export charges on oil and gas, but Harris said International Trade Minister Jim Peterson has a list of other items he's looking at in anticipation of winning authority from the World Trade Organization to enact further sanctions. Harris said the sanctions will have to target influential U.S. sectors that rely on exports to Canada for much of their business. "Like the pleasure boat builders, for example, that ship hundreds of millions of dollars of boats into Canada," he said. "I don't know how big their lobby group is down there, but what you would hope for is that they would pressure the U.S. government because they're now having a disadvantage." Meanwhile, B.C. Forest and Range Minister Rich Coleman welcomed Ottawa's decision to cancel an Aug. 22 meeting with U.S. officials on the softwood lumber dispute. "The ineffective response by the United States to last week's NAFTA extraordinary challenge committee's decision leaves us no choice but to cancel the upcoming meeting," said Coleman in a statement. "We fully support the federal government's decision to suspend these discussions and look forward to continuing to work with the federal government and the provinces to bring a resolution to this long-standing disruption of free trade." Conversely, Steven Swanson, chairman of the Washington-based Coalition for Fair Lumber Imports, said he's disappointed with the move. "For the last four years, the coalition has shown a willingness to engage in meaningful, constructive discussions to end the dispute," he said in a statement. "Repeatedly, the Canadian federal and provincial governments have failed to come to the table with detailed proposals. "We remain committed to not allowing Canada's subsidized and dumped imports to devastate our industry."
Citizen photo by Dave Milne

GONE FISHING -- Ben Lui, 12, casts a fly Monday on the Nechako River at Cottonwood Island Park. Fishing has been a favourite hobby for Lui since he was four years old.

Gas prices hit new heights
by ALWYNNE GWILT Citizen st ff a Gas prices in Prince George were on the rise again Tuesday as they increased seven cents to 109.9 a litre at some stations. Market analyst Michael Ervin of MJ Ervin and Associates in Calgary said the rates are simply reflecting world market prices. "We're still looking at what has been a month's worth of increases in crude oil prices," said Ervin. According to Ervin's website, Canada's average pump price is 104.9 cents per litre, although Prince George was still at 102.9 cents per litre rather than its current 109.9. The seven-cent jump should not come as a surprise, according to Ervin. "Unbeknownst to the consumer, every time dealers get a new load, which is typically every four or five days, they're paying more every single time, but you haven't seen the pump price go up every four or five days," said Ervin. "Dealers do not, in kneejerk-pattern, simply pass on a higher price every time they get a new invoice. They tend to wait to see if it's a one-time thing or a larger trend." The good news is crude oil prices may have hit a plateau, which means gas prices may not keep rising. As well, as August comes to an end and the Labour Day weekend hits, prices will move away from summer highs. "I'm not sure they'll drop below a buck at this point in time, but certainly historically around the Labour Day long weekend is a time where we have seen pump prices moderate as the demand for that product drops," said Ervin. -- See relate st d ory on page 7
Citizen photo by Dave Milne

Local gas stations raised prices Tuesday.

High : 20 Low : 3 page 2

Canada cancels softwood lumber talks
OTTAWA (CP) -- Canada has suspended softwood lumber talks with the United States to protest America's refusal to heed a NAFTA ruling that sided with the Canadian position. A Monday meeting that had been scheduled to start the next round of talks in the dispute has been cancelled, with no hint of when talks might resume. "Following consultations with provincial governments, and in light of the U.S. response to the Aug. 10 decision of the NAFTA extraordinary challenge committee, the government of Canada has decided to not proceed with the negotiations planned for next week," International Trade Minister Jim Peterson said in a news release Tuesday. "The government of Canada will continue to consult with industry stakeholders as we consider all possible options for promoting Canada's interests in this long-standing dispute." Peterson advised U.S. Trade Representative Rob Portman of the development. Last week, the extraordinary challenge panel dismissed Washington's claims that Canadian softwood exports are subsidized and damage the U.S. lumber industry. Canada immediately called on Washington to return about $5 billion in countervail and anti-dumping duties collected from Canadian companies. The Americans refused, saying the ruling didn't end the matter because it did not deal with a 2004 decision from the U.S. International Trade Commission, which supported the American case. Canadian officials have questioned Washington's commitment to the free trade agreement. -- See FEDS on page 3

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INDEX
Annie's Mailbox . . . . . . . . . 23 Bridge . . . . . . . . . . . . . . . . .21 Business . . . . . . . . . . . . 16-18 City, B.C. . . . . . . . . . . .3,5,13 Classified . . . . . . . . . . . 19-22 Comics . . . . . . . . . . . . . . . . 27 Crossword . . . . . . . . . . . . . 27 Entertainment . . . . . . . . . .26 Horoscope . . . . . . . . . . . . . 21 Nation . . . . . . . . . . . . . . . . 6,7 Sports . . . . . . . . . . . . . . . 8-12 World . . . . . . . . . . . . . . . 14,15

Boxcar shortage leaves pulp mill fuming
by MARK NIELSEN Citizen st ff a A failure by CN Rail to deliver boxcars over the weekend left Pope and Talbot's Mackenzie pulp mill with no way to ship out its product and the mill's manager fuming. "We had a botched delivery of boxcars over the weekend and we're just living hand-to-mouth right now," mill manager Tom Boughner said. "They didn't deliver any when they promised a lot." The mill fills about 10 cars a day and so needed 20 over the weekend. "When you're looking for 20 and none show up, it's a disappointing surprise," Boughner continued. "We've got cars in today and we'll get more in tonight but it's a vital lifeline we've got here. "We have to move product out as fast as we're making it to avoid doublehandling it or to avoid having it held up. The customers are looking for delivery, the cars have to be here, we have to load them, we have to get them moving." Boughner said there were similar glitches when CN Rail had taken over operations from B.C. Rail about a year ago, but it had improved over the last few months. Boughner said he was given an explanation but added it wasn't good enough. "When you run into something like this weekend, it's disappointing because it's got to be good all the time," he said. CN spokesperson Graham Dallas said troubles were due to circumstances beyond the company's control, namely getting cars unloaded in the Lower Mainland. "We were dealing with some congestion on the North Shore of Vancouver," he said. "Some of the terminals there have not been able to keep up with the volume of pulp that's been moving into the Lower Mainland, partly caused by the August long weekend and compounding that, apparently some shifts did not arrive as scheduled, plus the Vancouver's dispute, which we know about. "During that, a number of mills shipped extra volumes to the North Shore terminals, which led to further congestion." Dallas said CN is encouraging the terminals to work weekends to clear up the backlog so railcars can be moved back to serve customers.

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