The Custom-House

Proposed Farm Subsidy Extension to 2011

Elizabeth Becker reports that the Senate retained a measure (in budget legislation) to extend at least some subsidy provisions of the 2002 farm bill beyond their current expiration date in 2007, until 2011: U.S. Senate showdown on farm subsidies is threat to trade talks (International Herald Tribune, Nov 3):

But on Thursday, the Senate raised no objections to extending those subsidies by four years, to 2011. The White House had wanted the Senate to let stand the expiration date of 2007, when Congress is scheduled to rewrite the entire farm program. Now, critics contend, it will be harder to convince U.S. trading partners that the farm lobby is willing to give up some of its approximately $19 billion in annual subsidies.

Where are the East Asians?

The East Asians have a lot to gain from trade negotiations, so why aren't they playing a greater leadership role in the Doha round of negotiations, asks Guy de Jonquières Doha failure harms Asia most. (Financial Times, Oct 31, subscription required).

FarmPolicy.com

Farm issues are central to the current Doha Round negotiations.  In the United States, budget debates, and early debates over the upcoming 2007 farm bill, have important implications for the negotiations.

The web site and free daily email newsletter, FarmPolicy.com by Keith Good is a helpful resource, with a useful survey of media coverage of farm issues. 

Today's newsletter surveys media coverage of yesterday's House Agriculture Committee hearings on the Doha Round, other media coverage of the Round, coverage of French objections to the EU's negotiating proposals, and domestic EU farm subsidy politics.

The Time Warriors of the WTO

Very helpful post from Peter Gallagher today. 

His topic is the "must do list" for the meeting of WTO member nation trade ministers in Hong Kong this December: Must do list for agriculture negotiations.

Among other things,

U.S. ag subsidy extension

French farmers aren't the only ones trying to place constraints on the scope of a Doha agricultural agreement.

Elizabeth Becker reports that:

U.S. lawmakers are scheduled to vote Thursday on whether to extend the huge commodity subsidies for American farmers to 2011 from 2007, adding a new complication to the already complex negotiations for a global trade agreement.

A damper on WTO talks? (International Herald Tribune, Nov 3)

The World Won't End...

The world won't end if there is a weak result from the Doha Round, or even if there is a failure to complete the round.

But the world will be a better place if we do.  Economics columnist Martin Wolf takes up the theme: If trade liberalisation fails (Financial Times, Nov 1, subscription required).  In addition to explaining what we stand to lose, he has some advice on how to conduct the negotiations: