Trade Policy Commercial Market Relationships, and Effects on World Price Stability: The European Community

International Relations/Trade,

Banana policy: a European perspective

European Union banana policies do not make economic sense, and hence criticism of these policies is justified. Some facts should, though, be remembered. If the EU had chosen free trade in bananas when the Single Market was established, certain producers both inside and outside the EU would have lost income, and it proved politically impossible to choose direct financial compensation. Also, the quantitative implications of the new EU banana regime may be less than sometimes assumed, as trade has not been reduced very much. The WTO's role is not to judge the economic merits of these policies, but their legal justification.Agricultural and Food Policy, Crop Production/Industries,

TARIFF RATE QUOTAS IN THE EU

The European Union has opened tariff rate quotas (TRQs) after the Uruguay Round (UR), following the agreement that minimum access should be provided and current access not be restricted. The EU TRQs are described and their origin is explained. Descriptive statistics are provided in order to assess the implementation of the market access provisions of the 1994 UR Agreement. Transparency of the EU TRQ system and fill rates of TRQs are examined. Overall, the EU's record in the area of TRQs is relatively satisfactory, compared with those of other countries. Concerns remain, however, as to the exact articulation of the (regional) Europe Agreement and some quotas under minimum access.International Relations/Trade,

Will agriculture always remain a problem in GATT?

GATT has had extraordinarily scant “success” in the agricultural sphere up to now. To what extent is this due to the special status accorded to agriculture in GATT? Are trends discernible within GATT that might lead to an improvement in the situation? Might the Uruguay Round produce fundamentally new solutions

Eastward enlargement of the EU: Will agricultural policy be an obstacle?

The political preparations for enlarging the European Union to include the Central European countries are in full swing, but economic policy preparations have not yet begun. There is a need for adjustment primarily in the Central European countries, but also in sensitive areas in the EU itself, particularly the Common Agricultural Policy. Will agricultural policy be an obstacle to eastward enlargement

European agricultural policy at the crossroads: Dirigistic pseudo-solutions or genuine reforms?

It is now widely acknowledged that the agricultural policy course followed by the EC in the past cannot continue unchanged. Intensive negotiations on modifications to the Common Agricultural Policy have taken place, but have not yet led to agreement among the member countries. Professor Tangermann analyses the ideas for reform that are currently under discussion and presents possible alternatives

Die Millenniums-Runde der WTO-Verhandlungen und die Zukunft der EU-Agrarpolitik

The Uruguay Round has established completely new rules for agricultural trade, but not yet achieved much liberalisation. The current new round of negotiations will, therefore, have to make another big step forward. Countries’ views on what exactly should be agreed in the new round still differ widely. However, it is remarkable that no country has so far doubted the validity of the new WTO rules for agriculture, nor refused to engage in serious negotiations about further reductions. The EU has so far not had major difficulties to honour the new commitments that resulted from the Uruguay Round, though in the area of export subsidies the constraints have already been felt. In the new round of negotiations, EU export subsidies will be a primary target of negotiations, given the fact that the EU grants around 88 % of all agricultural export subsidies world-wide. It will, therefore, be important for the EU to change its policies such that EU agriculture can export without subsidies. In the cereals sector, Agenda 2000 has made a notable step in this direction. For other products, though, the EU will need more reforms in the future.WTO rules for agriculture, Millennium Round, EU agricultural policy, export subsidies, Agricultural and Food Policy, International Relations/Trade,

L'Accord sur l'Agriculture de l'Uruguay Round fonctionne-t-il ?

Le Cycle de negociations de l'Uruguay qui a abouti, a introduit des changements radicaux aux regles du commerce international s'appliquant au secteur agricole. L'Accord sur l'agriculture a modifie en particulier les conditions d'octroi de subventions a l'exportation, contribuant a ramener ce secteur dans le cadre general du GATT. Neanmoins, sur d'autres aspects, la realite est plus complexe, comme dans les aspects sanitaires, ou paradoxalement les accords signes en 1995 contribuent a rendre plus "specifique" le traitement accorde a l'agriculture par le recours a des procedures d'evaluation scientifiques particulieres, ceci a un point tel que se posent des problemes d'acceptabilite sociale de ces accords. D'une maniere generale, les accords ont ete bien appliques et ont assez rarement donne lieu a des differends qui necessitent d'aller au bout de la procedure de reglement prevue. Neanmoins cela traduit les contraintes relativement faibles qui ont ete imposees au secteur, au moins sur la periode de mise en place. Les grands tests de validite des accords de l'Uruguay Round restent a venir, en particulier lorsque les marges de manoeuvre actuelles auront ete epuisees et que des nouvelles contraintes plus "mordantes" se feront sentir, lors d'un nouveau cycle de negociations.Politique agricole; subventions a l'exportation; acces au marche; barrieres non tarifaires