Back to drawing board for EU farm ministers

EU farm ministers said today they were heading back to the drawing board to make possible changes in their negotiating strategy in an effort to get world trade talks back on track.

Italian Agriculture Minister Giovanni Alemanno said the 15-nation bloc would see what it could do to win back the trust of poor nations to salvage the current round of talks meant to lower agricultural subsidies and tariffs.

The 146 members of the World Trade Organisation failed to make any progress on reducing farm subsidies and tariffs at the meeting last week in Mexico.

“We will propose policy lines to take,” by November, Alemanno, who hosted an EU farm ministers conference in Sicily.

“We want to give out a signal that we were open and prepared for a political dialogue in order to achieve progress in the World Trade Organisation talks.”

Alemanno and EU Agriculture Commissioner Franz Fischler would not reveal what possible changes to the EU’s trade position might involve, but hinted it could also include reforming the way the Geneva-based WTO works.

As part of an added incentive to win back poorer countries support, Fischler is to outline a new slate of farm reform proposals at the European Parliament tomorrow, hoping to make further long-term cuts in the EU’s€43bn-a-year farm handouts.

On the table will be possible cuts in subsidies in olive oil, tobacco and cotton, and possibly sugar.

The plan foresees an ending in paying subsidies based on how much is produced. Instead, EU farmers will receive an annual payment based on the size of their farms.