May 3, 2007

 

Canadian farmers want their "sensitive products" to be defended at WTO

 

 

Canada's Dairy, Poultry and Egg Farmers said they were disappointed with WTO's failure to recognize Canada's trade position with regards to its animal product market.

 

Canadian farmers are saying that the WTO's paper issued on farming failed to reflect the Canadian position on trade.

 

The paper, written by the chair of the WTO's agricultural committee Crawfod Falconer was detrimental to Canada's position on sensitive products, farmer groups said.

 

Farmers say the outcome would be devastating for Canada if the ideas were adopted in the WTO Doha Round agreement.

 

The Canadian government make its voice heard on the sensitive products section in the paper, said Laurent Souligny, Chairman of the Canadian Egg Marketing Agency.

 

In July 2004, the "sensitive products" category was created and garnered support among WTO members because it was widely recognized that all countries have sensitive products.

 

The move was seen as a way for countries to safeguard their most sensitive products while also pursuing aggressive market access for less sensitive products.

 

Canada was comfortable with the status quo, which sought real commercial market access for its export sectors while avoiding injury to its sensitive products.

 

Falconer's paper links requirements for sensitive products to the general tariff reduction formula for other products, in effect taking away the special privileges enjoyed by the group.

 

The paper also accommodates the most trade-distorting players, particularly the US and the EU and ignores the requirements of legitimate marketing mechanisms like supply management that do not rely on government subsidies, the farmers said.

 

The Canadian government has been assuring farmers that it would look after their interests, said David Fuller, Chairman of Chicken Farmers of Canada, adding that he remains confident that the government would fight to protect the "sensitive products category".

 

Canada's dairy, poultry and egg farmers remain firm in their call for no reductions in over-quota tariffs and for no increases in minimum market access. Any change to the status quo would seriously undermine their industries, they said.

 

There is now a renewed push at the WTO for an agreement by the end of 2007. To meet the new deadline, negotiations would intensify over the coming months-in particular leading up to the WTO summer break in August.

 

It is expected that Falconer's paper will be discussed by negotiators in Geneva in the coming weeks and will form the basis of the next draft modalities paper.

 

Important decisions could be taken in Geneva in the coming weeks and months, said Jacques Laforge, President of Dairy Farmers of Canada. Thus, it is absolutely critical that the Canadian government engages actively in the discussions, he said.