EU farmers ‘out on a limb’

IN THE world trade talks, China and India had to look after the 50% of their populations that is rural, but it is likely that European Union leaders would have sided with the 94% of their population that has little connection with agriculture.

The test of farmers’ political strength in the EU was narrowly avoided, when India and the US held up the final stage of agreeing a deal. The proposal was to cut the EU’s trade-distorting payments to farmers by 80% and to lower its food import barriers by 54%; EU trade and agriculture ministers were happy for talks to continue; and negotiators made progress in 18 out of 20 areas of difference.

It seemed an outline deal was near agreement. EU farmers threatened by the deal would then have depended on EU heads of state to veto it. It was not to be. Developing countries shot down the talks on issue 18, out of 20 trade issues that had to be tidied up. Their argument, over safeguards to protect 1.2bn Indian and Chinese farmers from food import surges, spared EU heads of state from a difficult decision — to give an injection to their faltering economies by agreeing a trade deal, or go out on a limb for their farmers.