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 It has triggered a boom in risky multiple births, created a generation of children with anonymous sperm-donor parents and spawned an underground trade in semen, eggs and surrogates.

Canada’s thriving fertility industry, however, will soon be left with virtually no official oversight, after the federal government decided this week to close down the oft-criticized regulatory agency for the field.

The government indicated in Thursday’s budget there is no point keeping Assisted Human Reproduction Canada (AHRC) open after a 2010 Supreme Court of Canada decision struck down much of the law it was supposed to enforce. The agency is slated to be shuttered by next March, its remaining functions taken over by Health Canada.

And though the court said large parts of the federal legislation fell under provincial jurisdiction, the provinces have shown little inclination to step into the breach.

Meanwhile, the issues that a Royal Commission argued almost 20 years ago urgently required regulation continue to percolate: the commercial trade in sperm, eggs and surrogates; the multiple births generated by in-vitro fertilization; the effect on children of having unidentified donor...