Oxfam Exposes Illegal Agricultural Subsidies

Oxfam Exposes Illegal Agricultural Subsidies
Wednesday, 30 November 2005, 2:32 pm
Press Release: Oxfam
Wednesday 30 November 2005

Exposed: EU, US paying $13 billion in illegal agricultural subsidies

The European Union and the United States are illegally subsidizing their production of corn, rice, sorghum, fruit juice, canned fruit, tomatoes, dairy products, tobacco and wine, according to new research published today by international agency Oxfam.

The EU and the US must do more to deliver a development deal ahead of a crucial WTO Ministerial meeting on December 13-18 otherwise they could end up facing a mountain of litigation, Oxfam says, because developing countries will be left with no other options.

Of the 11 commodities studied, the US and the EU pay out total annual farm subsidies worth $9.3 billion and $4.2 billion respectively which help to distort world trade. Oxfam found that 38 developing countries are suffering from unfair competition as a result, including larger countries such as Mexico and Brazil as well as poor countries like Malawi and Mozambique.

http://www.scoop.co.nz/stories/PO0511/S00235.htm