The U.S. could be re-opened to Canadian live cattle imports within months if a promised initiative by U.S. President George W. Bush comes to pass.

He made the commitment at a meeting in Chile on Saturday with Prime Minister Paul Martin.

Bush said he would ask the U.S. Office of Management and Budget on Monday to end a ban on live cattle imports from Canada resulting from a BSE scare last year.

"I think this is a significant step forward," Prime Minister Paul Martin said.

"Obviously, there are a number of steps that have to be met but I think this is a significant step forward."

The chain of events would be this:

• The budget office would review the request for up to 90 days;
• If it gives the go-ahead, the border would open about two months later;
• The only thing that would stop the border from opening at that point would be if both levels of the U.S. Congress voted to strike down the ruling.

"To have such a thing happen would be extraordinary," said a senior Canadian official told The Canadian Press about the both-houses vote. "It's almost theoretical."

Canadian beef producers estimate they've lost more than $4 billion since a BSE-infected cow was found in Alberta back in May 2003.

Other business

Bush and Martin are in Chile for a meeting of the 21-nation Asia-Pacific Economic Cooperation (APEC) conference.

They discussed Bush's upcoming visit to Canada, which starts Nov. 30.

It isn't known yet if Bush will address Parliament.

"Carolyn Parrish has said she will respect Bush when he comes to Canada," Martin told reporters, referring to the former Liberal MP famous for her anti-American and anti-Bush statements.

CTV's Rosemary Thompson, reporting from Santiago, said the two also discussed softwood lumber.

Bush said there wasn't much he could do about softwood lumber because the issue is currently being held up in U.S. Congress.

"In terms of tone, the Trade Minister was in the meeting and said it was 'warm and fuzzy.' That is quote unquote," Thompson said.

Martin also said he would push for Bush's support of his plan to create a forum for world leaders. Martin calls the forum the L-20.

The leadership group would, under the banner of the UN, intervene when sovereign countries can't protect its citizens, as in the case of the 1994 genocide in Rwanda.

However, Bush was skeptical of the proposed group.

"The president's view is that he's interested (but) he doesn't want another meeting like the traditional meeting," Martin said.

Bush was focused on other matters. He met with Chinese President Hu Jintao plus the leaders of Japan, South Korea, Indonesia and Russia. He's drumming up support to deal with nuclear threats from Iran and North Korea.

Outside, protesters continued more demonstrations. Many of them shouted slogans directly denouncing Bush.

"Bush, get out of our country!" they yelled, while others burned American flags and protesting the U.S. presence in Iraq. "Bush, assassin!" they chanted.

The APEC summit started in 1989. Its aim is to boost trade among Pacific Rim nations. In recent years, however, its focus has broadened to include security issues.

With a report from CTV's Rosemary Thompson and files from The Canadian Press