US Farmers Press Froman to Continue Fight Against India at WTO
Nearly 40 agricultural companies and associations pushed U.S. Trade Representative Michael Froman on Sept. 19 to keep fighting against unreasonable Indian demands at the World Trade Organization. India torpedoed the TFA in late July, after refusing to support one procedural stage of the ratification process (see 14091813).
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India is looking to defend its farm subsidy programs from challenge through the WTO dispute channel, said the letter. “India’s attempt to hold the Trade Facilitation Agreement hostage to gain concessions in agriculture beyond those it secured as part of the overall Bali package in order to maintain their flawed policy has been a brazen effort to force other WTO member nations to pay twice to gain India’s endorsement of TFA,” said the letter. “It must not be forgotten that TFA was already used as leverage by India to gain concessions at the Bali Ministerial that allow it to operate price support programs for basic commodities -- programs that often lead to subsidized exports and price suppression on global markets—in violation of its existing WTO commitments.” The TFA was the centerpiece of the Bali package brokered last December.
Meanwhile, WTO chief Roberto Azevêdo said in a Sept. 22 speech that the entire Bali package, which included other agriculture and development deals, is “at risk” because of the TFA collapse. “All negotiations mandated in Bali, such as the one to find a permanent solution for the issue of public stockholding for food security purposes, may never even happen if members fail to implement each and every part of the Bali Package, including the Trade Facilitation Agreement,” said Azevêdo (here). “The question that WTO members are trying to answer is not whether members can ensure their food security but rather under which commonly agreed disciplines they can implement policies to achieve this goal without further distorting trade or aggravating the food insecurity of third countries.”
Email ITTNews@warren-news.com for a copy of the letter.