EU must learn from sugar debacle and rethink talks strategy, says IFA
IFA president John Bryan said the EU never got the cheaper sugar it expected from previous global trade talks, which led to the closure of Ireland’s sugar industry in 2001. He said the EU must learn from past mistakes and re-think its strategy for the imminent Mercosur and WTO trade talks.
“Beef would be the most exposed product if those trade talks end up with further liberalisation of the markets,” said Mr Bryan.
“You can’t pull the plug on an EU product just because you think you can get it cheaper somewhere else. The promise of cheaper sugar never materialised, despite the decision to dismantle the industry here.
“We just want to learn from past mistakes and ensure that any future trade negotiations do not undermine food security or the capacity of farm families to make a living from the land.”
Agriculture Commissioner Dacian Ciolos echoed this view in a letter to Commission President Jose Manuel Barroso this week, stressing the greater costs imposed on European farmers by the more demanding regulatory environment.
Mercosur countries such as Argentina and Brazil deal with less red tape, so their goods are cheaper and they have more to gain from price-based negotiations. The EU Commission is trying to increase its 17.5% stake in world trade, but Ciolos warns that these global talks could endanger the food security of Europe’s 500 million citizens.
Mr Ciolos’ letter to Mr Barroso laments that the EU’s new ‘Trade, Growth and World Affairs’ blueprint does not address the regulatory disparity between Europe and other global markets.
His letter also warns against conceding EU agricultural market access in Free Trade Agreements which do not refer to these trade imbalances. The EU Commission is to publish proposals next week for its Common Agriculture Policy post-2013.
A recent Eurobarometer survey found Europeans believe products and services can compete in the global market, but few thought international trade would bring better quality products.
