Cotton-sector reform is explained
MetadataShow full item record
CTA. 2003. Cotton-sector reform is explained. Agritrade, December 2003. CTA, Wageningen, The Netherlands.
Permanent link to cite or share this item: http://hdl.handle.net/10568/52840
External link to download this item: http://agritrade.cta.int/Back-issues/Agriculture-monthly-news-update/2003/December-2003
Addressing the 'International Forum on Agriculture and Food' in...
Addressing the 'International Forum on Agriculture and Food' in Cernobbio on October 25th 2003, Commission Fischler outlined the basis for the Commission's cotton-sector reform proposals. He explained how in the cotton sector part of the current support would be incorporated into the single farm payment scheme with the rest being transferred into a new production aid, distributed on a per hectare basis. This new approach would further reduce the trade-distorting impact of EU cotton-sector support, which was already negligible. Addressing EU Agricultural Ministers in October 2003, Commissioner Fischler assured member states that with 40% of the payments still coupled, 60% decoupled and revenue coming from cotton cultivation, the gross margin to EU cotton farmers would still compare well to those from alternative crops. Commission proposals for reform of the cotton regime were also set out in some detail at the Commission-convened seminar on cotton-sector reform which took place in Brussels on November 11th 2003. Comment: The Commissioner's explanation makes clear the extent to which a reformed CAP is intended to maintain current levels of EU production through means which are more WTO compatible. Reining back EU production which expanded dramatically on the basis of past patterns of support is simply not on the EU's agenda.
SubjectsMARKETING AND TRADE;
- CTA Agritrade