Efforts continue to revive the Doha Round of WTO trade policy negotiations. The potential for a successful outcome of restarted talks continues to rest on market access for agricultural products. A recent paper by Michael Gifford, former chief agricultural trade negotiator for Canada, titled “Unlocking the Doha Round Impasse” released by the International Food & Agricultural Trade Policy Council provides insights on possible resolution of market issues.
The recent announcement from USDA that agricultural imports in fiscal year (FY) 2006, the year that ended on September 30, were $64 billion has again caused comments about imports threatening the food security and food safety of the country. National borders are no longer barriers that significantly limit choices for consumers in developed countries. A look at the details behind the $64 billion headline shows U.S. consumers have access to a wide array of imported products that meet their specific needs.
U.S. agricultural exports in fiscal year (FY) 2006, the year that ended on September 30, were a record $68.7 billion, an increase of 9.9 percent over 2005. Imports increased by 10.9 percent to a record $64.0 billion. U.S. agricultural exports and imports reflect that the U.S. is part of a world-wide food system as markets respond to consumers’ demands for food and other agricultural products.
The recent announcement that the U.S. and Russia have reached agreement in principle on a WTO Bilateral Market Access Agreement for Russia to join the WTO is the latest step in a 12 year process that has had more negative than positive news. The agreement can be viewed as either Russia accepting the disciplines that come with WTO membership or the addition of another member to the WTO that will further weaken efforts to facilitate more trade.
Since negotiations on a new WTO trade policy agreement were suspended in late July of this year, attention has focused on which U.S. crops under existing U.S. farm programs may be targets for a WTO case filed by another country. A recent report from the Congressional Research Service titled Potential Challenges to U.S. Farm Subsidies in the WTO by Randy Schnepf and Jasper Womach “reviews the general criteria for successfully challenging a farm subsidy program, and then uses available data and published economic analyses to weigh U.S. farm programs against these criteria.”