'We missed a sitting duck,' says a disheartened European commissioner Franz Fischler reflecting on the failure of world trade talks in Mexico last week to reach an agreement on agricultural trade reform. But he staunchly defended the EU position.
Speaking at the Ministry of Agriculture and Food this week in Guelph, Canada, Fischler staunchly defended the EU position. He brushed aside criticisms that Europe was responsible for the breakdown in talks, commenting that 'it was inevitable that the media would try to find a scapegoat'.
Likewise, he said it was difficult to accept the idea that agricultural subsidies in the developed world are responsible for the breakdown of talks, 'given that we didn't even reach this issue in the discussions'.
In Fischler's eyes, Europe bent over backwards to make Cancun work. "First, we were told that we had to reform our common agricultural policy (CAP) for the talks to be a success: so we did.
Then, we were told that unless we settled our differences with the Americans, the talks would fail. So in August we worked hard with our American partners to put together a compromise paper that would allow the talks to proceed."
Fischler took the time to remind his audience of the reform package for CAP agreed by EU member states in June this year that combines the principle of decoupled farm support with a substantial reduction in support prices.
From 2005 onwards, the majority of farm payments will no longer be linked to production. Instead, they will come in the form of a single payment that is dependent not on production, but on 'our farmers providing the broader services that our citizens demand of agriculture: food safety and quality, environmental maintenance, and animal welfare'.
The developing world has been highly critical of the EU's trade-distorting policies, and this was clearly a major obstacle to progress at the talks in Mexico. But during his speech Fischler fought back. "Not everyone in Canada, or elsewhere, is aware that by the time our reform is fully implemented, the cumulative effect of the last three reforms will mean that the EU will have reduced its most trade-distorting agricultural support by 70 per cent, and its export subsidies by 75 per cent since 1993."
Europe is the world's leading exporter of goods, but the agriculture commissioner stressed that 'where the impact of reform is most evident is in the constant decline of our net export position'.
But he did admit that there is more to be done. In fact, next week the Commission will present proposals to reform tobacco, cotton and olive oil sectors, as well as putting forward ideas for the sugar reform.
Although clearly disappointed by the failure of the talks, Fischler remains bullish: "We remain committed to the development agenda, we remain committed to the developing countries, and we remain committed to pursuing the reform of our internal policy," he concluded.
