Source: International Centre for Trade and Sustainable Development www.ictsd.org
Bridges: Weekly Trade News Digest Vol. 8, Number 12


AG COMMITTEE: Members question US Aid Programme

The regular session of WTO Committee on Agriculture (CoA) met on 25 March to address around 20 issues related to notifications by Members and the implementation of commitments. Among these was skimmed milk powder provided by the US to developing countries as food aid. Australia, Canada, the EC and New Zealand raised concerns and questions on issues such as whether the aid displaced commercial sales and hindered domestic production, and asked whether milk could be sourced domestically or in the regions concerned. They also questioned whether the skim milk, which was provided through a non-profit division of a commercial enterprise, could be considered true aid. The US responded that the skim milk powder did not displace domestic production but was meant to boost nutrition when domestic supplies could not meet the needs. The CoA also considered a domestic US food aid programme supplying orange juice to schools in low income areas. The EC and Argentina questioned why the US exempted the orange juice from "national treatment" because it was labelled food aid.

Also at the meeting, the Gambia was added to the list of net food importing developing countries. The next CoA meeting is scheduled for 17 June.

ICTSD reporting.