U.S. Ag Trade Coalition Calls for Ambition in WTO Trade Talks

WASHINGTON, May 10, 2006 — The Ag Trade Coalition supports an ambitious and balanced outcome in the Doha Round agricultural negotiations across all three main areas of market access, domestic support and export competition.

Members of the coalition seek real reform in the Doha Round that includes substantial and ambitious expansion in access to markets on a fair and transparent basis through aggressive tariff reduction and tariff-quota expansion; the meaningful and substantial reduction of trade-distorting domestic support and the elimination of export subsidies along with disciplines on export credits, the monopoly powers of state trading enterprises, differential export taxes and food aid only to the extent necessary to prevent such aid from distorting commercial markets.

These objectives can only be realized by a comprehensive and balanced approach to the agricultural negotiations as outlined in the framework agreement. The real potential in these negotiations is in lowering tariff barriers to improve market access for all nations. Excessive “sensitive” and “special” product designations will only work to minimize market access gains.

Agriculture cannot afford an outcome that only provides minimal gains. A final deal that provides only modest liberalization and reforms will draw little support from U.S. agriculture and will have difficulty gathering support in the U.S. Congress. We urge all WTO members to reinvigorate these negotiations in line with the Doha mandate agreed to by all ministers in 2001 to expand agricultural trade.

It is estimated that significantly reducing agricultural trade policy distortions, and those for other goods, will lift world incomes by U.S. $300 billion annually – mostly in developing countries. Trade liberalization will help reduce the incidence of poverty and lift incomes for people to buy the food and fiber they need.

For U.S. agriculture, reductions in trade-distorting domestic support programs must be balanced against real and commercially meaningful gains in market access.

All nations must contribute to a successful, trade-enhancing, negotiation if they expect to benefit from this round.

For more information, visit the Ag Trade Web site at www.AgTrade.us.

American Cotton Shippers Association

American Farm Bureau Federation

American Feed Industry Association

American Meat Institute

American Soybean Association

Animal Health Institute

Biotechnology Industry Organization

Blue Diamond Growers

Cargill, Incorporated

Corn Refiners Association

Distilled Spirits Council of the United States

Food Products Association

Grocery Manufacturers Association

Idaho Barley Commission

National Barley Growers Association

National Chicken Council

National Corn Growers Association

National Corn Refiners Association

National Cotton Council

National Grain and Feed Association

National Grain Trade Council

National Grange of the Order of Patrons of Husbandry

National Pork Producers Council

National Potato Council

National Oilseed Processors Association

National Renderers Association

North American Export Grain Association

North American Millers’ Association

Oregon Potato Commission

Sweetener Users Association

United Egg Association

United Egg Producers

US Dry Bean Council

US Hides, Skin and Leather Association

U.S. Grains Council

U.S. Livestock Genetics Export, Inc.

U.S. Mint Growers Assn.

U.S. Rice Producers Association

USA Poultry & Egg Export Council

USA Rice Federation

Washington State Potato Commission

WETEC