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 US admits Farm Bill breaches WTO rules 

US admits Farm Bill breaches WTO rules

02 Sep, 2008 11:54 AM
United States Department of Agriculture Secretary Ed Schafer has stopped short of saying the 2008 Farm Bill needs to be re-opened when discussing trade issues.

But he said it was "clear that Congress didn't care much about the Farm Bill being WTO (World Trade Organisation) compliant".

"The ACRE program, the disaster program, are not WTO compliant," Mr Schafer said.

"We will go back to Congress to make the appropriate changes."

Average Crop Revenue Election, a program that purports to be a combination insurance and disaster program, is based on production.

What may happen is that the 2009 crop season starts without a program signup, particularly because USDA needs new software and hardware to implement the program.

Congress, however, funded only $55 million of the $200 million USDA needs, Schafer said.

So, Schafer said, "We will allow it to be retroactive so they don't have to worry about a signup now."

Ultimately, Schafer said, the next Administration will play a role in defining the 2008 Farm Bill, much of which is dependent on interpretation by USDA.

"We will not get this Farm Bill fully implemented before the end of this administration," Schafer said.

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Date: Newest first | Oldest first
It is high time that the US started to deregulate their ag sector and start to implement free trade policies. Global agriculture would benefit and America could start to turn around the perception that they don’t care about anyone else but themselves.
Posted by Don, 3/09/2008 6:41:15 AM
Why doesn't the USDA just use some the profits from it's partnership with Monsanto to fund the shortfall? Personally, I'm sick of the USDA's obsession with the WTO anyway. At this point in time USDA is doing nothing but ruining agriculture, which is different to agri-business. Agri-business they are all for.
Posted by D. C., 3/09/2008 6:57:31 AM
Doha, WTO, bi-lateral trade agreements - all sell out the Aussie farmer. Both sides of politics are the same - both treacherous, treasonous and selling out Australia's interests to corporate transnationals. NFF (No Family Farms) and QFF (Quit Family Farms) are a farce, like most of the so-called PEAK industry groups. Wake up Australia and ACT!
Posted by Meg, 3/09/2008 8:57:07 AM
It is interesting to see that even US agrees to this matter. This bill will continue to distort trade as it still mantains the some programmes authorised under the 2002 farm bill, such as direct payments, counter-cycle and loans to producers of certain commodities.

It is clear that US is not willing to cut subsidies. It is not only a threat to international producers (in developing and LDCs countries) but also to US citizens as it has been indicated that the new labelling programme under 2008 bill is going to cost retailers and eventually the burden will be passed on to consumers.

Posted by Zithulele Balindlela, 3/09/2008 2:29:26 PM

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US Agriculture Secretary Ed Schafer
US Agriculture Secretary Ed Schafer
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