AGRICULTURE
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Canada Scrapping Subsidy Program: The end of the century-old subsidy on rail shipments of grain is in one of the boldest steps taken by a major trading nation to slash agricultural supports. Canada is terminating the subsidy effective today in order to comply with the Uruguay Round world trade agreement, which classified the practice as a “trade distorting” subsidy. Farmers said the end of the $415-million annual “Crow” rate subsidy--named after a Rocky Mountain pass--will force them to shift toward higher-value specialty crops, raise more livestock, process more of their grain rather than ship it in bulk and find alternative ways of transport.
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