WTO Favors Brazil Against EU on Sugar

Brazil’s Ministry of Foreign Relations has commented on the World Trade Organization’s (WTO) final decision confirming that subsidies granted by the European Union (EU) for the production and export of sugar violate international trade rules.

The European bloc can still appeal the decision, but it will be difficult to reverse the ruling on the grievance filed by Brazil, Australia, and Thailand.

The three countries protested to the WTO about EU subsidies to beet and cane sugar and sugar exports from ex-colonies in Africa, the Caribbean, and the Pacific. They argued that these practices have led to distortions on the world sugar market.

According to rough estimates, Brazil, which is the world’s largest sugar producer, accounting for approximately 16% of the market, suffers an annual loss of around US$ 400 million as a result of the EU’s sugar subsidy system, which transformed the European bloc into the world’s second largest exporter of this product.

In its preliminary finding, announced August 4, the WTO’s Dispute Settlement Body judged as appropriate the argument that the subsidies granted by the European bloc exceed limits established in previous trade agreements. This decision was just confirmed by the WTO.

This is Brazil’s second victory in a WTO panel (arbitration committee). The first, in April, involved US cotton subsidies.

Agência Brasil
Reporter: Maurí­cio Cardoso
Translator: David Silberstein

Tags:

You May Also Like

Rousseff and Serra Hide Their Pro Choice Leaning to Win Brazil Presidency

Dilma Rousseff, the woman handpicked by Brazilian president Luiz Inácio Lula da Silva to ...

Brazil: Northeasterners Get No Respect

Brazilian TV viewers may associate what is deemed as successful attributes with urban or ...

A Brazilian Success Story: from Grape Farmers to Fine Wine Producers

The municipality of Monte Belo do Sul, 121 kilometers away from the capital Porto ...

A Carlinhos Brown you’ve never heard before

Antônio Carlos Santos de Freitas learned to read and write without a teacher and ...

Brazil Says More Heads Might Be Cut Due to Amazon Logging Scandal

Brazil’s Minister of Environment, Marina Silva, said, yesterday, that combatting deforestation in the Amazon ...

Brazil: Women’s Flaws at Lula’s Cabinet

Two Brazilian women ministers are having a hard time. Benedita da Silva had to ...

Brazil, a Nation at Peace

The days leading into a unilateral Anglo-American invasion of Iraq seem to be numbered. ...

Industry Grows Over 10% in Santa Catarina, Brazil. Above Country’s Average

Brazil's industry sales grew 8.4% in the first half of this year over the ...

While Brazil Burns Lula’s Popularity Rises

Brazilian public opinion remains strongly behind President Luiz Inácio Lula da Silva in spite ...

Brazil to Create 2000 Direct Jobs Building Submarines

The Navy of Brazil is celebrating the signing of a cooperation agreement between Brazil ...