WTO report on EU decoupling

The World Trade Organisation (WTO) has said that the EU’s decoupling decision and its commitment to enter negotiations to end farming subsidies, are not enough in themselves to create free trade in farming and food products.

“Tariff protection ... and domestic support, coupled with the limited liberalisation of trade in agricultural products under the EC’s preferential trade agreements, continue to limit foreign competition and to generate surpluses of some products,” the WTO said in a trade policy review.

“Further simplification of the EC’s trade regime, notably of its tariff structure on agricultural products ... and the continuation of structural reforms would substantially contribute to the promotion of world trade,” the WTO said.