WORLD TRADE  
ORGANIZATION  WT/DS357/12 
9 November 2007 
 
 (07-4886) 
 Original:   English 
  
UNITED STATES – SUBSIDIES AND  OTHER DOMESTIC SUPPORT 
FOR CORN AND OTHER AGRICULTURAL PRODUCTS 
 
Request for the Establishment of a Panel by Canada
 
  The following communication, dated 8 November  2007, from the delegation of Canada to the 
Chairman of the Dispute Settlement Body, is circulated pursuant to Article 6.2 of the DSU. 
_______________ 
 
  On 7 February 2007, Canada and the United Stat es held consultations with respect to whether 
the domestic support the United States provided in favour of its agricultural producers exceeded the 
commitment levels specified in Section I of Part IV  of its Schedule, contrary to Article 3.2 of the 
Agreement on Agriculture .  While the discussions were useful and clarified a number of issues, they 
did not resolve Canada’s serious concerns regard ing the Current Total Aggregate Measurement of 
Support provided by the United States.  Accordingl y, my authorities have now instructed me to 
request the establishment of a panel.   
 
Pursuant to Articles 4, 6 and 7.1 of the Understanding on Rules and Procedures Governing 
the Settlement of Disputes , Article XXIII of the General Agreement on Tariffs and Trade 1994 , and 
Article 19 of the Agreement on Agriculture,  Canada requests that the Dispute Settlement Body 
("DSB") establish a panel with the standard terms of reference to consider the following matter: 
 
That the United States’ Current Total Aggregate Measurement of Support has 
exceeded its commitment levels in each of the years
1 1999, 2000, 2001, 2002, 2004 
and 2005, contrary to Article 3.2 of the Agreement on Agriculture.  
 Pursuant to Article 3.2 of the Agreement on Agriculture , the United States committed to limit 
its Current Total Aggregate Measurement of Support to the annual levels specified in section I of Part 
IV of its Schedule: for the year 1999, USD 19, 899.264 million and for each subsequent year, USD 
19,103.294 million.  Despite this, the United St ates’ Current Total Aggregate Measurement of 
Support provided by the measures2 at issue, when properly calc ulated in accordance with the 
provisions of the Agreement on Agriculture , has exceeded its commitment levels in each of the years 
1999, 2000, 2001, 2002, 2004 and 2005, in violation of  Article 3.2 of this agreement.  These 
violations nullify or impair the benefits accruing to Canada under the Agreement on Agriculture .  
  The measures at issue are those identified in th e Annex, which forms an integral part of this 
request. The measures further include any other legi slation, regulations and other instruments not 
identified in the Annex, by which any of the s upport under the identified measures was provided. 
 
 Canada asks that this request for the establis hment of a panel be placed on the agenda of the 
DSB meeting scheduled for 19 November 2007. 
                                                     
 
1 In this request, "year" has the meaning assigned to it in Article 1(i) of the Agreement on Agriculture . 
2 In this request, "measures" refers to support programs as well as support provided pursuant to those 
programs. WT/DS357/12 
Page 2  
 
  ANNEX
 
 
 
 In this Annex, where possible, Canada (a) identifies measures by the name or description used 
by the United States in its yearly Table DS:1  notifications3 as well as its periodic Table DS:2 
notifications of new and modified measures4 (collectively the "Notifications"), and (b) relies upon the 
Notifications to identify the legal authority for tho se measures.  Canada also identifies additional legal 
authority where appropriate. The years to whic h each measure relates are specified in the 
Notifications. Reference to measures identified in the Notifications is without prejudice to whether the 
notified amounts of support or categorization of measures are accurate. 
 This Annex also identifies by name or descr iption measures not notified by the United States 
and the legal authority for those measures.  The years to which each of the non-notified measures 
relates are specified in this Annex. 
 Each measure identified in this Annex comprises the support program ( i.e., the overall design, 
structure and/or legal mechanism by which support is determined and/or granted) and the support 
provided pursuant to the support program.  Thus, the use of terms such as "measures", "support", 
"payments" or "program" in this Annex encompasses both the support program and the support itself.   
Measures Legal Authority for the Measures 
(PL numbers refer to Public Laws id entified in the appended table) 
Adjustment assistance program The No tifications identify: Section 32, Agricultural Adjustment Act of 1935 
American Indian livestock feed 
program The Notifications identify: PL 91-524, U.S.C. §1427A;  PL 108-324. 
 
Canada has identified the following additional legal authorities: Section 
806, PL 106–387, 114 Stat. 1549A–51; and  Title 7 C.F.R. part 1439. 
Biodiesel program payments The Notifications identify: PL 107-171. 
 
Canada has identified the following additional legal authorities: Executive 
Order 13134 of 1999; and Title 7 C.F.R., part 1424. 
Bioenergy program payments  The Notifications identify: PL 107-171. 
 
Canada has identified the following additional legal authorities: Executive 
Order 13134 of 1999; and Title 7 C.F.R., part 1424. 
California Tri-Valley market loss The Notifications identify: Section 843, PL 106-387. 
Cattle feed program The Notifications identify: Section 32, Agricultural Adjustment Act of 
1935; and Section 165, PL 104-127. 
Certificate exchange gains The Notifications identify:  PL 104-127; and Section 812, Subtitle B, Title 
VIII, PL 106-78. 
 
Canada has identified the following additional legal authorities: Title 
7 CFR, Chapter XIV, Part 1401, § 1401.4; and  PL 107-171.  
                                                      
3 Notifications G/AG/N/USA/43 of 5 February 2003 for year 1999, G/AG/N/USA/51 of 17 March 
2004 for years 2000 and 2001, and G/AG/N/USA/60 of 8 October 2007 for years 2002 to 2005. 
4 G/AG/N/USA/5 of 16 September 1996, G/AG/N/USA/25 of 11 March 1999, G/AG/N/USA/28 of 
16 November 1999, G/AG/N/USA/37 of 5 October 2001, G/AG/N/USA/58 of 9 October 2007, and 
G/AG/N/USA/59 of 9 October 2007.  WT/DS357/12 
 Page 3 
 
 
  Measures Legal Authority for the Measures 
(PL numbers refer to Public Laws id entified in the appended table) 
Commodity loan forfeit  The Notifications identify: Section 801,  Title VIII, PL 106-78; Section 812 
and Section 844, PL 106-387. 
 
Canada has identified the following additional legal authorities: 
Title 7 CFR, Chapter XIV, Part 140 5, Section 1405; PL 104-127, and 
PL 107-171. 
Commodity loan interest subsidy The Notifications iden tify: Section 1126, PL 105-277; Section 801, Subtitle 
A, Title VIII, PL 106-78; Section 203, PL 106-224; Section 204, 
PL 106-224, Section 812, PL 106-387; and PL 107-171. 
 
Canada has identified the following additional legal authorities: Title 
7 CFR, Chapter XIV, Part 1401, § 1401.4; and PL 104-127. 
Commodity Purchases, Emergency 
Surplus Removals, and Funds for 
Strengthening Markets, Income and 
Supply (Section 32) The Notifications identify: Section 32, Agricultural Adjustment Act of 
1935.  
 
Canada has identified the following additional legal authorities: 
Title 7 U.S.C., Chapter 26, Subchapter III, §612c; and PL 107-76. 
Cotton seed payments  The Notifications identify: PL 105-277; Section 204, PL 106-224; Section 
6, PL 107-25; and PL 108-7. 
 
Canada has identified the following additional legal authorities: 
PL 108-324; and PL 109-234. 
Countercyclical payments The Notifications identify: Title I, PL 107-171. 
Crop and revenue insurance subsidized by the Federal Crop 
Insurance Corporation No legal authority identified in the Notifications. 
 
Canada has identified the following legal authorities: PL 96-365; 
PL 103-354; PL 106-224; PL 109-97; and Title 7 U.S.C., Chapter 36, 
§ 1516. 
Crop disaster payments The Notifications identify: Food Security Act of 19 85; Disaster Assistance 
Acts of 1988 and 1989 and subsequently [ sic in the notifications]; 
PL 106-78; PL 106-387; PL 108-07; PL 108-324; PL 110-28.  
 
Canada has identified the following additional legal authorities: Section 
741, PL 107-76; PL 107-171; PL 109-234. 
Crop market loss assistance payments The Notifications identify: Section 802, Subtitle A, Title VIII, PL 106-78;   
PL 106-224. 
 
Canada has identified the following additional legal authorities: Section 
801, Title VIII, PL 106-78; Section 1617, Subtitle F, Title I, PL 107-171. 
Dairy disaster payments The Notifications identify: PL 109-234. 
Dairy farmer indemnity program For years: 1999, 2000, 2001, 2002, 2004, 2005. 
Title 7 U.S.C., Chapter 17, § 450j & § 450k. 
Dairy hurricane indemnity The Notifications identify: PL 108-324. 
Dairy indemnities No legal authority identified in Notifications. 
Dairy market loss payment The Notifications iden tify:  PL 106-78; Section 805, PL 106-387. 
Dairy market loss payment (MILC) 
(includes also MILCX although not 
identified in Notifications) No legal authority identified in Notifications.  
 
Canada has identified the following le gal authorities: Section 1502, Subtitle 
E, Title I, PL 107-171; and Section 1101, Subtitle A, Title I, PL 109-171. WT/DS357/12 
Page 4  
 
  Measures Legal Authority for the Measures 
(PL numbers refer to Public Laws id entified in the appended table) 
Dairy production disaster assistance The Notifications id entify: Title VIII, PL 105-277; and Title II, PL 105-174 
Direct payments The Notifica tions identify: PL 107-171. 
Disaster Reserve Assistance 
Program No legal authority identified in Notifications. 
Diversion payments The Notifications identify: PL 99-198. 
Emergency Feed Assistance 
Program No legal authority identified in Notifications. 
 
Canada has identified the following legal authorities: Emergency Livestock 
Feed Assistance Act of 1998 (reauthor ized by Title X, Subtitle B, Section 
10104, PL 107-171); and Title 7 C.F.R. Part 1439. 
Emergency Feed Program No legal authority identified in Notifications. 
Emergency loans for seed producers The Notifications identify: PL 106-224.  
 
Canada has identified the following additional legal authorities: Section 
10103, Subtitle B, Title X, PL 107-171. 
Farm storage facility loans The Notifications iden tify: Commodity Credit Co rporation Charter Act. 
Feed Indemnity Program The Notifications identify: Section 32, Agricultural Adjustment Act of 
1935. 
Flood Compensation Program The Notifications identify: PL 105-277.  
 
Canada has identified the following additional legal authority: Title II, 
Subtitle F, Section 257, PL 106-224.  
Florida Citrus Disaster Program The Notifications id entify: Section 32, Agricultural Adjustment Act of 
1935. 
Florida Nursery Crop Disaster 
Program The Notifications identify: Section 32, Agricultural Adjustment Act of 
1935.  
Florida Vegetable, Fruit and 
Tropical Fruit Disaster Program The Notifications identify: Section 32, Agricultural Adjustment Act of 
1935.  
Florida hurricane disaster programs (includes the Florida Citrus, 
Nursery Crop, and Fruit and 
Vegetable and Tropical Fruit 
Disaster programs)  The Notifications identify: Section 32, Agricultural Adjustment Act of 
1935.  
Forage Assistance Program The Notifications identif y: 1988 Disaster Assistance Act; and PL 105-174. 
Gulf hurricanes disaster program 
(this is a heading in the 
Notifications for Tree indemnity 
program, Feed indemnity program, 
Livestock indemnity program, and 
Hurricane indemnity program)  The Notifications identify: Section 32, Agricultural Adjustment Act of 1935 
Hard White Wh eat Incentive 
Program For years: 2004, 2005. 
Section 1616, Subtitle F, Title I, PL 107-171. 
Hard white wheat payments The Notifications identify: PL 107-171. 
Hawaiian sugar transportation 
payments No legal authority identified in the Notifications.  WT/DS357/12 
 Page 5 
 
 
  Measures Legal Authority for the Measures 
(PL numbers refer to Public Laws id entified in the appended table) 
Hurricane Indemnity Program The Notifications iden tify: Section 32, Agricultural Adjustment Act of 
1935. 
2005 Hurricanes Citrus, Fruit and Vegetable Disaster, Nursery and 
Tropical Fruit Programs The Notifications identify: PL 109-234. 
Irrigation and provision of power at 
subsidized rates to store and move 
irrigation water, related to Bureau 
of Reclamation projects in 17 
Western states No legal authority identified in the Notifications.  
 
Canada has identified the following legal authorities: Reclamation Act of 
1902; Reclamation Projects Act of 1939 as amended; Marine Protection 
Research and Sanctuaries Act of 1972 - Section 103; Reclamation Reform 
Act of 1982 and other acts codified in Title 43 U.S.C., Chapter 12 
(particularly subchapter X thereof); the Central Valley Project Improvement 
Act of 1992; contracts between Bureau of Reclamation and water districts; 
Army Corps of Engineers Statutory Authorities (Rivers and Harbors Act of 
1899; Water Resources Development Acts of 1986, 1988, 1990, 1992, 
1996, 1999, 2000; Title 33 U.S.C. Chapter 36); and Section 404, Clean 
Water Act. 
Livestock assistance program The Notifications identify: PL 108-07; and PL 108-324. 
 
Canada has identified the following additional legal authorities: Section 32 
of the Agricultural Adjustment Act of 1935; Title I, Subtitle C, Section 132, 
PL 106-224; PL 104-127; Title IX, Section 9002, PL 110-28. 
Livestock compensation payments The Notifications identify: PL 110-28. 
Livestock compensation program The Notifications identify: Section 32, Agricultural Adjustment Act of 
1935; and PL 108-07. 
Livestock feed assistance For years 1999, 2000, 2001, 2002, 2004, 2005. 
Section 32 of the Agricultural Adjustment Act of 1935; Title V, 
Agricultural Act of 1970, as amended;  PL 104-127; Title VIII, Subtitle A, 
PL 106-78; Section 806, PL 106–387; PL 108-07; PL 108-324; Title 7 
U.S.C., Chapter 35A, Subchapter V; an d Title 7 C.F.R., Chapter XIV, Part 
1439. 
Livestock Hurricane Programs The Notifications identify: PL 109-234. 
Livestock indemnity payments  The Notifications identify: PL 110-28. 
Livestock Indemnity Program The Notifications identify: Section 32, Agricultural Adjustment Act of 
1935; PL 105-18; PL 105-119; PL 106-31; PL 105-86; PL 106-78. 
 
Canada has identified the following additional legal authorities: PL 110-28. 
Livestock Pilot Programs For years: 2000, 2001, 2002, 2004, 2005. 
Section 132, Subtitle C, PL 106-224. 
Loan Deficiency Payments The Notifications identif y: Title I, Subtitle C, PL 104-127; Section 812, 
PL 106-387; PL 107-171. 
 
Canada has identified the following additional legal authorities: Section 
801,Title VIII, PL 106-78; Subtitle C, PL 104-127.  
Loan Deficiency Payments for 
Unshorn Pelts For years: 2002, 2004, 2005. 
Section 1205, PL 107-171. 
Market loss payments (identified for 
apples and for cranberries)  The Notifications identify: PL106-387; Section 741, PL 107-76; and 
Sections 10105 and 10106, PL 107-171. WT/DS357/12 
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  Measures Legal Authority for the Measures 
(PL numbers refer to Public Laws id entified in the appended table) 
Market loss payments (identified for 
mohair and for wool)  The Notifications identify: Section 204, Title II, PL 106-224; Section 814, 
PL 106-387; and Section 5, PL 107-25. 
Market loss payments (identified for 
peanuts)  The Notifications identify: Section 803,  Title VIII, PL 106-78; Section 204, 
PL 106-224; and Section 3, PL 107-25. 
Market loss payments (identified for 
potatoes)  Notifications include only reference to AMS News Release No. 078-01, 
April 2001. 
Market loss payments (identified for 
tobacco)  The Notifications identify: Section 803,  Title VIII, PL 106-78; Section 204, 
PL 106-224; Section 4, PL 107-25; PL 107-76; and PL 108-07. 
Marketing loan gains  The Notifications identify: Title I, Subtitle C, PL 104-127; Section 812, 
PL 106-387. 
 
Canada has identified the following additional legal authorities: Title I, 
PL 107-171; Title I, PL 104-127. 
Marketing loan payments No legal authority identified in Notifications. 
 
Canada has identified the following lega l authorities: Subtitle C, Title I, 
PL 104-127; and Subtitle B, Title I, PL 107-171. 
Marketing loans No legal authority identified in Notifications.  
 
Canada has identified the following le gal authority: Title I, PL 104-127. 
Michigan fire blight tree assistance 
program The Notifications identify: PL 108-83. 
Milk Income Loss Contracts 
(MILC) The Notifications identify: PL 107-171. 
Multi-year crop disaster payments The Notifica tions identify: Section 1102, PL 105-277.  
Net Federal budget outlays for 
grazing livestock on Federal Land  No legal authority identified in Notifications. 
Noninsured Crop Disaster 
Assistance Program (NAP) The Notifications identify: PL 103-354; and PL 106-224. 
 
Canada has identified the following ad ditional legal authority: PL 104-127. 
Non-recourse loan and loan-related 
payments The Notifications identify: Title I, Subtitle C, PL 104-127; and PL 107-171.
 
Canada has identified the following ad ditional legal authority: Section 812, 
PL 106-387. 
Nonrecourse Marketing Assistance Loans and Loan Deficiency 
Payments  For 1999, 2000, 2001, 2002, 2004, 2005. 
Subtitle C, Title I, PL 104-127; Sec tion 812, PL 106-387; and PL 107-171. 
Non-recourse program (identified 
for honey) The Notifications identify: Section 812, PL 106-387; and PL 107-171 
Northeast dairy compact The Notifications identify: Title I, Subtitle D, Chapter 1, PL 104-127. 
Northeast dairy compact benefit The Notifications iden tify: Title I, Subtitle D, Chapter 1, PL 104-127. 
Oilseed payments The Notifications identify: T itle I, Subtitle C, PL 104-127; Section 804, 
Subtitle A, Title VIII, PL 106-78; S ection 202, PL 106-224; and Section 2, 
PL 107-25. 
Pasture Recovery Program The Notifications identify: PL 106-78.  WT/DS357/12 
 Page 7 
 
 
  Measures Legal Authority for the Measures 
(PL numbers refer to Public Laws id entified in the appended table) 
Payments in Lieu of Loan 
Deficiency Payments for Grazed 
Acreage For years: 2002, 2004, 2005. 
Section 1206, Subtitle B, Title I, PL 107-171. 
Price support/quota (identified for 
dairy)  No legal authority identified in Notifications. 
 
Canada has identified the following legal authorities: Chapter 1, Subtitle D, 
Title I, PL 104-127; Subtitle E, Title I, PL 107-171, and Title 7 U.S.C., 
Chapter 26, Subchapter III, § 627. 
Price support/quota (identified for 
peanuts)  No legal authority identified in Notifications. 
 
Canada has identified the following legal authority: Chapter 2, Subtitle D, 
Title I, PL 104-127. 
Price support/quota (identified for 
sugar)  No legal authority identified in Notifications. 
 
Canada has identified the following legal authorities: Chapter 2, Subtitle D, 
Title I, PL 104-127; and Subtitle D, Title I, PL 107-171. 
Production Flexibility Contract Payments  The Notifications identify: PL 104-127. 
Quality loss payments  The Notifications identify: PL 106-387. 
Recourse Loans for High Moisture 
Feed Grains and Seed Cotton For years: 1999, 2000, 2001, 2002, 2004, 2005. 
Title I, Subtitle C, Section 137, PL 10 4-127; and Title I, Subtitle B, Section 
1209, PL 107-171. 
Recourse loans (identified for 
honey)  The Notifications identify: Section 801,  Title VIII, PL 106-78; and Section 
204, PL 106-224. 
Recourse loans (identified for 
mohair)  The Notifications identify: Section 1126, PL 105-277; and Section 801, 
Subtitle A, Title VIII, PL 106-78. 
Rio Grande water loss assistance 
program The Notifications identify: PL 108-7. 
Section 32 Disaster Assistance, 
January 2006, distributed through 
the Hurricane Indemnity Program 
(HIP), the Tree Indemnity Program 
(TIP), the Livestock Indemnity 
Program (LIP), and the Feed 
Indemnity Program (FIP) The Notifications identify: Section 32, Agricultural Adjustment Act of 
1935. 
Special Competitive Provisions for Extra Long Staple Cotton Section 1208, Subtitle B, Title I, PL 107-171. 
Special Marketing Loan Provisions 
for Upland Cotton Section 1207, Subtitle B, Title I, PL 107-171. 
Specialty/Nursery crops hurricane 
disaster program The Notifications identify:  PL 109-234. 
State credit programs No legal authority identified in Notifications. 
Storage payments The Notifications identify: Su btitle F, Title I, PL 104-127; and PL 107-171. 
Sugar beet disaster program The Notifications identify: PL 108-7. 
Sugar cooperative payment Th e Notifications identify: Section 822, PL 106-387. WT/DS357/12 
Page 8  
 
  Measures Legal Authority for the Measures 
(PL numbers refer to Public Laws id entified in the appended table) 
Sugarcane disaster payments The Notifications identify: PL 109-234. 
 
Canada has identified the following additional legal authority: PL 108-07. 
Sugarcane hurricane loss payments The Notifications identify: PL 108-324. 
Sugarcane hurricane program The Notif ications identify: PL 108-7. 
Tobacco quota buyout The Notifications identify: Title VI, PL 108-357. 
Trade adjustment assistance Th e Notifications identify: PL 107-171; and PL 107-210. 
Tree Assistance Program  The Notifications identify: 1988 Disa ster Assistance Act and subsequent 
disaster assistance acts; PL 105-174; PL 108-83; PL 108-324; PL 109-234. 
 
Canada has identified the following additional legal authorities: Subtitle C, 
Title X, PL 107-171; and Division A and Division H, PL 108-199.  
Tree assistance program (disaster 
assistance) The Notifications identify: PL 108-324; and PL 109-234. 
Tree Indemnity Program The Notifications identify: Section 32, Agricultural Adjustment Act of 
1935. 
User marketing payments No legal authority identified in Notifications. 
 
Canada has identified the following legal authorities: Section 136, Title I, 
PL 104-127; and Title I, PL 107-171. 
Various additional emergency 
programs, including for crops, feed, 
and livestock For years: 1999, 200, 2001, 2002, 2004, 2005. 
Section 32 of the Agricultural Adjustment Act of 1935;  PL 105-174; 
PL 105-277; PL 106-31; PL 106-78; PL  106-113; PL 106-224; 
PL 106-246; PL 106-387; PL 107-20; PL  107-25; PL 107-76; PL 107-171; 
PL 107-206; PL 108-7; PL 108-83; PL 108-199; PL 108-324; PL 109-234; 
and PL 110-28. 
Warehouse disaster payments The Notifications identify: Section 803, PL 106-78; and Appendix E, 
Chapter 1, PL 106-113. 
 
__________