11/17/05 AWB suspended from USDA credit

Farm and Ranch November 17, 2005 U.S. Wheat Associates is thanking the U.S. Department of Agriculture for its recent suspension of the Australian Wheat Board Limited from participation in USDA export credit programs. The Wheat Board has been under a cloud since October 27th when it was cited as a case study in a UN investigation of Iraq's infamous Oil for Food Program. That investigation determined that the AWB accounted for more than 14 percent of the illicit payments made to Iraq in connection with humanitarian purchases under the program. U.S. Wheat Associates had called for the suspension of the Australian Wheat Board and president Alan Tracy says USDA acted to protect the integrity of a valued U.S. program. The AWB is blaming U.S. Wheat for its suspension saying the organization was conducting unwarranted attacks on Australian farmers and Australia's international trade interests. U.S. Wheat Associates director of overseas operations Vince Peterson, says the timing of that report on the Oil for Food scandal was good for the U.S., bad for Australia. Peterson: "The timing is well noted in that the Hong Kong round is coming up soon and one of the pillars of export competition that we are insisting upon is to bring discipline to the monopoly authority. So I think it is helpful in that regard." 15 The AWB operates a wholly owned U.S. subsidiary AWB-USA Limited which is registered with USDA as an authorized exporter of U.S. commodities and as such, is subject to U.S. laws and regulations. I'm Bob Hoff and that's the Northwest Farm and Ranch Report on the Northwest Ag Information Network.