
State trading enterprises
    
    Encyclopedia
    
        State trading enterprises are enterprises authorized to engage in trade (exporting and/or importing) that are owned, sanctioned, or otherwise supported by government.  STEs are legitimate trading entities and are subject to GATT rules.  Examples include the Canadian Wheat Board
, the Australian Wheat Board, and the Fonterra Cooperative Group in New Zealand. Some U.S. agricultural producers think, however, that STEs through their exercise of monopoly power and government support may distort trade in their respective commodities.
Canadian Wheat Board
The Canadian Wheat Board  was established by the Parliament of Canada on 5 July 1935 as a mandatory producer marketing system for wheat and barley in Alberta, Saskatchewan, Manitoba and a small part of British Columbia...
, the Australian Wheat Board, and the Fonterra Cooperative Group in New Zealand. Some U.S. agricultural producers think, however, that STEs through their exercise of monopoly power and government support may distort trade in their respective commodities.


