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The continuing quota contrloyetsy

The idea of a quota on Canadian lumber entering the United States was controversial from the start. The intervening years have made it no less so.

In 1982, the Coalition for Fair Lumber Imports, a group composed of U.S. lumber producen, made the first of three tries to have a tariff imposed on wood from Canada. They contended the Canadian government unfairly subsidized its lumber industry, putting our producers at a disadvantage.

Following the quota's implementation last year, there was confusion, price volatility and bad feelings all around. While the Coalition contends the quota is a reasonable solution to the funport situation, some of its lumber customers violently disagree. Many feel the quota is a sham to artificially raise lumber prices for the sole benefit of the producers.

Carl Tindell, chairman of the National Lumber and Building Malerial Dealen Association, says, "It is time to rally our customers and colleagues to send the message that we cannot and will no longer tolerate intervention in the hmber tade to benefit only a handful of U.S. producers. We've come to tbe pornt where enough is enorgh- The power to change the market and afrect millions of people cao no longer rest in thc hands of so few."

To this end, NLBMDA and the National Association of Home Builders recently formed The Alliance for Affordable American Homes, which has been active in lobbying support in Congress and demanding President Clinton repeal or revise the quota agrcemenl

The Western Wood Products Association disputes that the quota is the sole villain for price hikes. WWPA president Robert H. Hunt points out record Canadian lumber inports in 1996 and that only a very small volume carried thc duty. Additionally, Hunt notes that due to environmental restrictions western mill production is off 3O% when demand is high.

At a time when this business faces unprecedented challenges, it's sad indeed that so much time and money is being devoted to an internal battle, rather than the business at hand-

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