A reduction in the duration of the new US farm bill passed by the US
Senate this week shows Australia’s lobbying efforts are paying
off, Trade Minister Mark Vaile said today.
“I am pleased the US Senate has taken note of Australia’s
view that the duration of the farm bill should be shorter when it
passed a bill covering a five-year period compared with the House of
Representatives version which is for 10 years,” Mr Vaile said.
“I made Australia’s views known to US Trade Representative
Robert Zoellick, Agriculture Secretary Ann Veneman, Commerce
Secretary Don Evans and senior members of the Congress and Senate
when I was in Washington last month.
“A five-year farm bill would be more consistent with the time
frame for the WTO trade negotiations launched in Doha last
November.”
The US Senate passed the Agriculture, Conservation, and Rural
Enhancement Act on 13 February. The US House of
Representatives passed its version of the farm bill, the Farm
Security Act, on 5 October last year. The Congress
Conference Committee will now seek to reconcile the key features of
the proposed legislation.
Mr Vaile said the Howard-Anderson Government was seriously
concerned about the costly protectionist and trade-distorting
measures in the new farm bill.
“The Federal Government does not want the new farm bill to
adversely impact on export opportunities for Australian farmers,
including by reducing global prices. The provisions affecting
our dairy and sugar sectors are of particular concern,” Mr Vaile
said.
“The Government is also concerned the new farm bill could limit
the flexibility of the US to show strong leadership on agricultural
reform in the WTO.
“Australia will continue to lobby members of the US Congress
and Administration. In particular, we do not want US farm
support programs to be extended to include additional commodities,
and we do not want subsidies to lead to excess production that would
destabilise and depress world agricultural prices. The level
of support should remain within the country’s WTO commitments.
“The Congress Conference Committee faces an important challenge
to develop farm legislation that is more market-oriented and less
trade-distorting, while meeting US agricultural interests, and
facilitating the ability of the US to show strong leadership on
international agricultural reform.”
Contact: Mark Croxford (Ministerial) 02 6277 7420, Nicole
Guihot (Department) 02 6261 1555
