WSPC demands return of confidential documents

Boss questions Canada Border Service Agency's credibility

MOSES LAKE — Out of the Washington State Potato Commission's battle with Canada over dumping duties in British Columbia, a complaint has arisen.

Legal counsel for the WSPC has filed a complaint with the Canada Border Services Agency (CBSA) demanding return or destruction of submitted confidential information because of undisclosed and unauthorized release of the information under new CBSA procedures.

Several Washington potato shippers had submitted sensitive financial documents requested by the CBSA in connection with a Normal Value Review investigation used to determine anti-dumping duties on U.S. potato imports to British Columbia.

WSPC executive director Pat Boss said in August that the WSPC planned to appeal British Columbia's anti-dumping order, which he said places tariffs on potatoes from Washington, Idaho, Oregon and California at different prices per state, and also for varying sizes and shapes.

Boss said the province was also essentially accusing Washington's potato industry of selling below cost, an accusation he called absurd.

Confidential information from the financial documents was subsequently released under new CBSA regulations to representatives of the British Columbia Vegetable Marketing Commission without any notice to the WSPC.

Counsel for the WSPC learned of the disclosure after the fact in discussion with CBSA representatives.

Once informed, Washington potato counsel pointed out to CBSA that the information had been released to someone whose eligibility for access to the documents was in doubt.

A strongly worded objection was filed with the CBSA on Aug. 20. The situation grew worse when some of the confidential information was included in a public submission by counsel for BCVMC.

"This is a clear breach of confidence and due process," Boss said. "The gravity of this issue is magnified by the fact that improper disclosure as made under CBSA rules before we received any notice and could object or prevent it."

The CBSA responded to the WSPC that it saw no problem with the request and that CBSA procedures and practices were "comprehensive" and did not need to be changed to allow parties to view names before disclosing information. At that point, the WSPC decided it had no choice but to demand return of the confidential information to protect it.

"How does the Canadian government expect parties to fully cooperate when its procedures do not permit either the CBSA or the submitting parties to safeguard their proprietary information from improper disclosure?" Boss said. "This calls into question the credibility and integrity of the CBSA and the whole process of determining grounds for levying duties on U.S. potatoes."

A letter from the WSPC legal counsel to the director of CBSA stated that "for over two decades, the exporting industry has been subject to inflated and unrealistic normal values that have affected its participation in what should be a normal commercial environment in the British Columbia marketplace. Accordingly, the decision to forebear from submitting additional confidential information and to request return of submitted confidential information is taken with great regret, and demonstrates the compelling nature of the reasons that lead to this position."