9/18/2003 Lost Chance for Dairy Reforms - 9/18 Agriculture Law
While agricultural trade practices were the most controversial issue that the WTO ministers were expected to address, the trade negotiations actually broke down Sunday over trade facilitation issues, and as a result, the 146 trade ministers present never even fully focused on conflicts between developed and developing nations over farm policies.
"Cancun's failure to deliver a workable framework to improve world trade rules is disappointing," said Tom Suber, president of USDEC. "NMPF and USDEC have prepared for this moment and we were ready to engage in negotiations to obtain the best possible outcome for the U.S. dairy industry."
"You can look at the outcome of the talks, and view the milk jug as either half full or half empty," said Jerry Kozak, president and CEO of NMPF. "It's half full because at least we emerged from Cancun intact, and didn't end up with a bad deal or unpalatable outcome. However, it's half empty from the standpoint that we have lost an opportunity to improve the world trade situation for America's dairy farmers. Europe's existing agricultural practices, which are a problem for the U.S. as well as the developing world, won't be changed now for the foreseeable future."
Suber said that the Bush administration has expressed the desire to pursue free trade agreements through bilateral and regional negotiations. "We have consistently argued that multilateral negotiations using the WTO as a forum is the best way to address issues such as export subsidies, market access and domestic support in a reciprocal manner among all WTO members," Suber said. "That will now have to wait for another day."
Kozak said that "U.S. dairy farmers need to be part of the negotiations because agriculture will be a major part of the final outcome. We need to show we are leaders in this process, rather than standing on the sidelines waiting to take whatever deal we are given."
If the WTO's viability is adversely affected over the long haul, the U.S. dairy sector will need to refocus its energy to fight bilateral free trade agreements that will adversely affect the U.S. dairy industry, such as the pending Australia Free Trade Agreement, Kozak said.
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