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JANUARY 12,1999



NFU CALLS FOR EXTENSION ON ESTEY COMMENT DEADLINE



SASKATOON, Sask.-- In a letter today, NFU President Cory Ollikka requested that Transportation Minister David Collenette extend the deadline for comments on Justice Estey's Final Report from the current date of February 1 to April 1.

Ollikka's letter stated: "Justice Estey's recommendations, if implemented, would profoundly change every aspect of the current grain transportation system. His recommendation that the current rate cap be repealed is breathtaking for the many farmers who have studied this issue. For many very good public policy reasons, western grain freight rates have been capped since 1897. Justice Estey's recommendation to remove the cap comes with little evidence that such a fundamental change is wise, warranted, or in the national or farmers' interest."

"Justice Estey also recommends that government legislation remove the CWB's jurisdiction over grain transportation. This recommendation is also a fundamental change to the current system. Estey's recommendations, if implemented, would not simply 'tune-up' the current western grain handling and transportation system: they would replace the current system with an American-style, contract-based system. At minimum, farmers and other interested groups need time to understand the sweeping implications of Justice Estey's proposed model. For this reason, we ask that you extend the comment period to April 1, 1999,"stated Ollikka's letter.

The NFU Transportation Committee is studying Estey's Report and will soon release its analysis. Committee Chair Terry Boehm concurred with Ollikka that the recommendations in Estey's Final Report represent a fundamental shift in Canada's grain handling and transportation system. "Estey's report recommends removing crucial protections for farmers and almost completely eliminating farmer input into the system. In the fullness of time, producers will become aware of the many flaws in this report. Whatever their conclusions, Minister Collenette needs to give everyone more time to respond," stated Boehm.

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