Agreement On Agriculture Export Subsidies

Export subsidies have enabled EU exporters to gain market share in developing countries, lower world prices and unfairly compete with local producers in many developing countries. At the same time, the EU has become a net exporter of agricultural products with a price level well above world prices for many raw materials, resulting in huge stocks and budgetary needs. The EU`s common agricultural policy has been reformed over the last twenty years, with fewer market interventions, fewer stocks and therefore less need for export subsidies. For the first time in 2001, the EU agreed to end export subsidies in Doha, but it took until December 2015 to remove them completely. Export subsidies no longer play a role in the EU (see Figure 1). Excuse me: in the third paragraph before the end, the sentence “Thus, EU28 exports of cereals, meat and dairy products reached €5.9 billion in 2014…” are replaced by “EU-28 cereal, meat and dairy export subsidies thus reached €5.9 billion in 2014…”. Excuse me, Jacques Berthelot. Members continue to negotiate further reforms. In 2015, they adopted a landmark decision to remove agricultural export subsidies and set rules for other forms of export support for farms. The 2003 CAP reform, which decoupled most of the existing direct aid, and the subsequent sectoral reforms resulted in the postponement of most of the aid under the yellow and blue boxes in the green box (€61.6 billion for the period 2016-2017, see table below). Aid granted under the “Amber Box” (AMS or Aggregate Measurement of Support) decreased sharply, from EUR 81 billion at the beginning of the contractual period to EUR 6.9 billion over the period 2016-2017, even with successive waves of enlargement. The European Union is thus largely respecting the commitments made in Marrakesh (€72.38 billion per year) for the AMS. In addition, the “Blue Box” reached €4.6 billion during the same registration period.

Under the Agreement on Agriculture, export subsidies are defined as subsidies that depend on export performance, including export subsidies specified in Article 9 of the Agreement. Indeed, many of the definitions contained in the draft ASA agreement, which are still the subject of difficult debates, have been excluded from this dictionary. . . .


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