Quote:
Originally posted by skywalker:
The problem with the subsidies, is that the Corporate Farms are usually the ones who benefit the most, not the poor family farmer.
Mark
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I was raising the point in a wider context of global trade liberalisation. (I am not necessarily a fan of such, by the way....)
The EU massively subsidises its farmers, far more than the US. The US has been getting progressively more shirty about this, with good reason, arguing that it distorts trading world wide.
The EU has been gradually, though reluctantly, taking this view on board, and is now looking at doing away with the CAP (common agricultural policy) which is at the heart of fat subsidies.
However, America has suddenly reversed its position right in the middle of shaking its finger sternly at Europe, with the 2002 farm bill, which will raise the level of federal subsidies by over 80%. And yes, Sky, 3/4 of the cash will go to the biggest 10% of farmers.
Europe will take this as an excuse to keep their own subsidies.
The poorer countries, many of whom are becoming progressively more suspicious of trade liberalisation, are liable to seriously baulk at the current orgy of protectionism, (which will escalate as Europe responds to the US steel tariffs/farm bill. )
They are going to be looking at the US in a very squinty eyed fashion, as the US calls to them to drop barriers to international trade (ie. give the US and Europe opportunities to take a bigger share of their markets.)
It's all about competing on a level playing field, according to the globalisation gurus. But in no way can the latest US actions be interpreted as a move towards the free trade ideal of minimal barriers worldwide and a level playing field.
Oh well, maybe the US, so far the biggest exponent, together with Europe, of free trade ideologies, is going to end up being the country that brings the whole notion into disrepute.
It's an ill wind...... [img]smile.gif[/img]
Basically, the point I'm making is that it is bizarre that the country that has most driven the free trade agenda is now turning turtle and making moves in the opposite direction. Oh for some consistency!
[ 05-13-2002, 05:12 AM: Message edited by: Silver Cheetah ]