EU rejects Asia-Pacific calls for further cuts on agriculture subsidies

THE European Union yesterday rejected calls by Asia-Pacific countries to make deeper cuts in agricultural subsidies to unblock global trade talks and rescue next month’s World Trade Organisation ministerial meeting in Hong Kong.
EU rejects Asia-Pacific calls for further cuts on agriculture subsidies

Trade Commissioner Peter Mandelson accused Asia-Pacific Economic Co-operation member states, meeting in South Korea, of ‘finger-pointing’ over Europe’s attitude in world trade talks and reiterated that it has no plans for a new offer on farm aid.

The EU insists its proposals, which have already caused fury among farmers in Ireland who claim they exceed the commission’s negotiating mandate, are enough of a compromise.

Stalled talks over agriculture have led to reduced prospects for a global trade liberalisation deal in Hong Kong.

European Commission President Jose Manuel Barroso said the EU had made a “serious, constructive offer” to cut agriculture subsidies and that it was up to others to make concessions.

British Prime Minister Tony Blair said both the United States and the EU should make greater concessions on agriculture, while major developing nations such as Brazil and India should do more to open up their industrial and service sectors to foreign involvement.

Ireland East Fine Gael MEP Mairead McGuinness said farm families in Ireland, already struggling due to poor and declining market prices for their beef, milk and lamb, fear eviction from their land arising from the proposals for a world trade deal put forward by the EU trade commissioner.

Independent MEP Marian Harkin said it is incomprehensible that there is continuing pressure for further CAP reforms.

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