Media release
Saturday 28 September 2002 - MVT116/2002
Cairns Group Takes Aim at Domestic Support
Australian agricultural producers would benefit considerably from
cuts to trade-distorting domestic subsidies proposed by the Cairns
Group, Group Chair Trade Minister Mark Vaile said today.
Mr Vaile was speaking following the tabling overnight in the World
Trade Organisation (WTO) of the Cairns Group negotiating proposal
on agricultural domestic support.
"The Cairns Group is again taking the lead at the WTO to reform heavily
distorted agricultural markets," Mr Vaile said.
"Extraordinarily high support for agriculture, particularly in rich
OECD countries, is a travesty for efficient farmers everywhere, including
Australia. The WTO must tackle this issue head-on."
The Cairns Group proposal would eliminate within five years current
entitlements to production and trade-distorting domestic support,
worth around $US73 billion in the European Union, $US31 billion in
Japan, and $US19 billion in the United States.
"The Cairns Group proposal is designed to lead to more open and efficient
markets to the benefit of all WTO Members, including developing countries.
"The proposal reaffirms the Cairns Group's leading role in assisting
developing countries with their reform efforts with all trade-distorting
domestic support in developed countries to be eliminated over a short
period.
"There is no reason why farmers in developing countries should have
to compete with subsidy-driven farmers and farming industries in the
developed world.
"With the recent release of strong negotiating positions from the
Cairns Group and from the US, other developed countries should be
encouraged to bring forward their proposals for agricultural trade
reform."
Media Contact: Mark Croxford +61 02 6277 7420
Local Date:
Friday, 21-Nov-2008 17:15:55 EST