China, India, the European Union, Ukraine and Australia told the World Trade Organization on Wednesday, June 26, that subsidies to US farmers risk distorting global markets, and expressed concern that such funding would be repeated, the WTO representative said.
In February, Washington told the WTO Committee on Agriculture that the $ 12 billion “market facilitation package” to help farmers affected by trade disruptions would be one-off.
But last month, a second tranche of up to $ 16 billion was announced. The American diplomat said on Wednesday, June 26, the committee that as of June 7, $ 8.57 billion had been paid.
According to the representative of the WTO, the Australian diplomat said that US subsidies are equivalent to two-thirds of all agricultural products in Australia, and such a policy could distort the world market. And the representative of China said: "We appreciate that the United States respects the interests of farmers, but we will be grateful if the United States can also respect WTO rules."
Meanwhile, EU plans related to Brexit have raised concerns among diplomats from Canada, Australia, China, Uruguay, Paraguay, Russia, the United States, and New Zealand.
The point is the proposed EU treatment of quotas for tariff rates for agricultural products under Brexit without concluding transactions. Countries fear that they will lose their market share if Britain begins to compete as an exporter to the European Union.