Dairy Industry Urges Dalian Action

Dairy Industry Urges Dalian Action

For Immediate Release

12 July 2005

Dairy Industry Urges Dalian Action

The New Zealand dairy industry is urging Trade ministers, including New Zealand's Jim Sutton, attending a mini summit in Dalian, China to continue pressing down a path towards agricultural market access liberalisation.

Dairy Companies Association of New Zealand Chairman (DCANZ), Earl Rattray, says the Dalian mini Ministerial meeting was shaping as a key point in driving towards the market access agreements sought for the December 2005 World Trade Organisation (WTO) round.

"DCANZ, Federated Farmers and Meat and Wool New Zealand are concerned at the slow progress being made towards new rules for market access, domestic support and export competition that are meant to be on the table at the December round," says Mr Rattray.

"So this mini ministerial meeting really needs to take some positive steps towards that commitment and make progress or we risk missing out in December and experiencing further delays to introducing rules that can only benefit New Zealand and world trade."

Mr Rattray said DCANZ and Federated Farmers were among signatories to a letter (see attached) from the Global Alliance for Liberalised Trade in Food and Agriculture urging trade Ministers at the Dalian meeting to take concrete steps towards achieving new rules for market access.

OPEN LETTER ATTACHED

Global Alliance for Liberalized Trade in Food and Agriculture

July 7, 2005

Open Letter to:

Ministers of Trade

WTO Member Countries Invited to the “Mini-Ministerial” Meeting

Dalian China

Ministers:

The member/supporters of the Global Alliance for Liberalized Trade in Food and Agriculture, extremely concerned with the slow progress of the agriculture negotiations, urge you to take bold and concrete steps towards ambition when you meet in Dalian China next week.

Ministers of all WTO member countries have agreed to negotiate, by the end of December 2005, an agreement that will create new rules for market access, domestic support and export competition. This negotiation will only be successful for the world’s farmers, businesses and consumers if it is truly ambitious across all three pillars. At this point we see little progress in the agricultural negotiations as a whole, and are particularly concerned that the Chair of the agriculture negotiations has clearly said that the market access pillar is the least advanced of the three.

Market access is a critical component of the agriculture negotiations, for both developed and developing countries. The achievement of commercially meaningful new market access will increase international marketplace returns to farmers whose products face tariffs that average 60% but reach well over 300%. It will also increase farmer opportunities at home as better access allows value added sectors to expand markets and increase demand. Real, new market access will increase choice and reduce costs for consumers. It will also open up tremendous new opportunities for the world’s poor nations. Developing countries continue to call for access to developed and other developing country markets as a primary tool of development.

It is very important that Ministers, as the ultimate trade negotiators, re-state a strong commitment to ambition in all three pillars of the agriculture negotiations. This includes disciplines on trade distorting support that will reduce actual spending and early elimination of all forms of export subsidies.

Specifically on market access, Ministers should commit, in a public statement, to achieving an agreement that makes substantial gains for all agriculture and food products, including sensitive products. Not only should the outcome remove the “water” in tariffs, but should also bite into applied tariffs; increase tariff quota volumes well above current import levels; and address tariff escalation.

Ministers, many of you were part of the Asia Pacific Trade Ministers’ meeting in Jeju, Republic of Korea in June. At that time, you recognized the critical importance of the Doha Round of negotiations as an “opportunity to significantly expand trade, promote global economic growth and foster development.” Progress in the agricultural negotiations is vital to progress in the round. At the meeting in Dalian, we encourage you to boldly state clear objectives for agriculture, and to commit your negotiators to achieving them.

The Global Alliance for Liberalized Trade in Food and Agriculture

Member/Supporters List Attached

Launched in Geneva in April, 2005, the Global Alliance for Liberalized Trade in Food and Agriculture brings together producers, consuming industries and consumers from around the world in support of the liberalization of international trade as an instrument of development, growth and prosperity

Global Alliance for Liberalized Trade in Food and Agriculture

Alliance mondiale pour la liberation du commerce en alimentation et agriculture

Alianza Mundial para un Comercio Agroalimentario Liberalizado

Members and Supporters

June 6, 2005
Associaçāo Brasileira da Industria Productora e Exportadora de Carne Suina (Brazil) Associaçāo Brasileira dos Productores e Exportadores de Frangos (Brazil)
Associacion Rural Del Uruguay Australia Food and Grocery Council
Agricore United (Canada) Canadian Restaurant and Food Services Association
Alberta Barley Commission (Canada) Canadian Seed Trade Association
All Japan Cooks Association Canadian Sugar Institute
American Potato Trade Alliance Canola Council of Canada
Consortium for Free Choice in Trade (UK, Germany, France, Belgium, Netherlands, Spain, Sweden, Denmark, Austria, Cyprus, Czech Republic, Malta, Switzerland) Confederação da Agricultura a Pecuária do Brasil
Canada Beef Export Federation Consumers Association of Canada
Canadian Agri-Food Trade Alliance Consumers for World Trade (United States)
Canadian Canola Growers Association Consuming Industries Trade Action Coalition (United States)
Canadian Cattlemen’s Association Dairy Companies Association of New Zealand

Canadian Meat Council Dairy Exporters of Canada
Canadian Oilseed Processors Association Federated Farmers of New Zealand
Food Trade Alliance (United States) National Council of Chain Restaurants (United States)
Global Dairy Alliance (Argentina, Australia, Brazil, Chile, New Zealand,Uruguay) National Farmers’ Federation (Australia)
Global Sugar Alliance (Australia, Brazil, Canada, Chile, Colombia, Guatemala, Honduras, India, South Africa, Thailand) National Restaurant Association (United States)
Grain Growers of Canada National Retail Federation (United States)
Japan Food Services Association Pork Trade Action Coalition (United States)
Malting Industry Association of Canada Sociedade Rural Brasileira (Brazil)
Meat and Livestock Australia Sunterra Farms (Canada)
Meat and Wool New Zealand Western Barley Growers Association (Canada)
Western Canadian Wheat Growers

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