Dáil debates

Thursday, 17 April 2008

World Trade Organisation Negotiations: Motion

 

12:00 pm

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)

I move amendment No. 1:

To delete all words after "Dáil Éireann" and substitute the following:

"notes that:

as a small open economy Ireland has much to gain from the rule based trading environment provided by the World Trade Organisation and Ireland is committed to seeking an acceptable conclusion to the current round of WTO negotiations;

the Government is seeking an outcome to these WTO negotiations that is balanced across all of the negotiating sectors (agriculture, manufacturing, services, rules, etc) and across the three agriculture negotiating pillars (market access, domestic supports and export subsidies) and which does not sacrifice Irish and European agriculture;

the Government is using every available opportunity to represent the Irish position and concerns in relation to these WTO negotiations at EU and international level;

the limit of the EU Commission's negotiating position in the WTO agriculture negotiations is the 2003 Reform of the Common Agricultural Policy and that any WTO agreement which exceeds this negotiating position will be unacceptable to Ireland; and

the Government is honouring its commitments in relation to these negotiations as outlined in the programme for Government;

acknowledges the commitment of the Government to:

continue to pursue a balanced outcome to the WTO negotiations;

continue to express at every available opportunity at EU and international levels Ireland's concerns in the negotiations, particularly in relation to agriculture;

continue to insist that the EU Commission adhere to the principle of ensuring any outcome does not necessitate a further reform of the CAP; and

continue to seek and enhance support for its position at EU level among other like-minded EU member states.

Fáiltím go mór roimh an deis labhairt sa Teach maidir leis an idirbheartaíocht WTO. Tá sé soiléir go bhfuil muid ag céim ríthábhachtach sna cainteanna agus léiríonn an ghníomhaíocht ar na sráideanna lasmuigh den Teach seo an tábhacht fhíor-mhór a bhaineann leis an idirbheartaíocht do gach leibhéal in Éirinn. Táim sásta, dá bhrí sin leis an aird atá tugtha don cheist sa Teach agus táim sásta leis an deis atá tugtha do na Teachtaí a n-imní a chur in iúl ag an bpointe cinniúnach seo.

Ba mhaith liom roinnt fíricí a chur os bhur gcomhair. Is geilleagar oscailte atá in Éirinn, geilleagar a bhfuil ag éirí go han-mhaith leis agus is mór an toradh atá faighte as an timpeallacht trádála riail-bhunaithe a chuireann an WTO ar fáil. Is mar gheall ar sin gur mian leis an Rialtas go mbeadh críoch inghlactha ar an mbabhta idirbheartaíochta seo. Mar sin féin, aithnímid go mór go gcaithfidh an comhaontú deiridh a bheith cothrom, agus caithfear teacht ar réiteach nach gcuirfidh ualach díréireach ar aon earnáil amháin ná go deimhin ar aon bhall amháin den WTO.

It is in this context that I have expressed to the House on many occasions recently my concerns at the current imbalance in the negotiations. The approach adopted in these negotiations by the Commission is not a good basis for achieving the ambitious and balanced conclusion to the round which the Government is seeking. Instead of a balanced approach, agriculture has been pushed out in front and, as a result, concessions have been sought and proposals made which would place an unacceptable burden on EU agriculture. I have strongly opposed this approach in the Council of Agriculture Ministers and I am glad to say my concerns are now being echoed by many other member states.

I have consistently pursued and will continue, as the negotiations proceed, to pursue a positive outcome for Ireland. I have sought to do this within the EU in a way that wins us the greatest number of allies. I have been instrumental in forging alliances with a number of like-minded member states in the group of 14, including France, and I will advert to this again later.

I am acutely aware of the importance of the outcome of these negotiations for Ireland and, in particular, I recognise the challenges which an agreement will present for Irish and EU agriculture. The current position in the negotiations is all the more disappointing given that the EU has prepared in a very constructive manner for these negotiations.

The reforms of CAP, agreed in 2003 as part of the mid-term review of the Agenda 2000 package, were undertaken with the next WTO agreement clearly in mind. As part of the 2003 reforms, the EU made a deliberate decision to prepare in a forward looking and positive manner for the challenges which Doha set for agriculture. The EU move to decoupled payments was carried out with a view to fulfilling the Doha target of substantially reducing trade distorting domestic supports. Decoupled payments, which by their nature are not linked to production, are considered non-trade distorting by the WTO. The EU move away from coupled and market support-type payments has reduced very substantially our levels of trade-distorting supports, therefore fulfilling one of the key objectives of the Doha Declaration.

In addition, the reforms have also made European agriculture more competitive, better prepared for globalisation, more compliant with food safety requirements, more environmentally sustainable and more conscious of animal welfare requirements. All of these outcomes show the multifaceted nature of the CAP and highlight that European agriculture policy is designed to deliver much more than economic benefits to society.

By taking this approach, the EU has clearly shown its commitment to achieving an ambitious outcome. I am disappointed to have to point out that the same level of commitment to reform has not been shown to date by many of the other developed countries and large emerging economy countries in the WTO. The principles on which the CAP was founded over 40 years ago, namely, to increase agricultural productivity, to ensure a fair standard of living for the agricultural community, to stabilise markets, to assure the availability of supplies, and to ensure that supplies reach consumers at reasonable prices remain as valid today as they did then, in particular, when we look at current market circumstances where concerns prevail about global food shortages and food security, a matter echoed here this morning. This is why it is of fundamental importance to me and the Government to ensure that the current CAP is not undermined by the next WTO agreement.

I also want to ensure that new market realities and emerging food security issues are not ignored in the rush towards an agreement. A bad WTO deal would reduce EU production to the extent that it could damage the ability of the EU to supply its food needs into the future.

A major objective in the agriculture negotiations is to ensure that the final agreement will not require a further reform of the CAP. This is the limit of the Commission's negotiating position and this must be adhered to.

While our overall policy, therefore, has been to prevail upon the Commission to seek a fair and balanced deal with the maximum benefits for Ireland, I have also been actively engaged with the Commission in the detailed technical discussions on the three agriculture pillars that may equally deliver the solutions to accommodate our current concerns. My specific priorities in the negotiations cover the main negotiating pillars on agriculture, namely, domestic supports, export subsidies, market access and non-trade concerns.

On domestic supports, my aim is to ensure that the EU system of decoupled direct payments continue to qualify as non-trade distorting payments under the WTO Green Box classification and so remain exempt from reductions under the new round. There can be no question of the decoupled single farm payments being undermined by any WTO proposals for reviewing the Green Box. This is a clear red line for the Government which cannot be crossed in the negotiations. There are clear threats to the definition of the Green Box emanating from recent discussions in Geneva and I for one will be vigilant to ensure that these threats do not come to fruition. I raised this vital point in the Agriculture Council on Monday, as did several other Ministers.

On export subsidies, my priority is to ensure that there is full parallel elimination of all forms of export subsidy and to seek the maximum flexibility in the phasing out arrangements for the EU export refunds scheme. In the CAP health check discussions, I have also emphasised the critical importance of maintaining effective flexible market management measures, including export refunds. While export refunds remain a policy tool of the EU, they should be used by the Community whenever the situation requires. There is strong support for this position in the Agriculture Council.

On market access, it is vitally important that Irish and EU farmers have sufficient time to adjust to the CAP reform and, in particular, the impact of the introduction of decoupled payments. An effective import regime has a vital role to play. Therefore, my aim is to retain the most effective level possible of protection for our producers and exporters from increased imports. I have been strongly pressing the Commission on this issue, as have my colleagues in Government, at every opportunity and in every available forum.

The current negotiations in Geneva are significantly focused on market access issues at present and, in particular, on the question of sensitive products. I want to make it clear that I believe it is absolutely essential that sensitive product status should deliver real and meaningful protection for key sectors of our farm economy. I will not be fobbed off by a deal in which the price paid for such status is so high in terms of TRQ conceded or the benefit is so low in terms of the allowed deviation from the overall tariff reduction that it delivers minimal real protection for beef and other key products. This is a fundamental issue for Ireland and I will continue to make sure the Commission is in absolutely no doubt about that.

I realise that this is a rather complex area but it is a very important one. Therefore, if the Opposition spokespersons on agriculture so wish, I, along with my officials, would be happy to go through some of the details with them.

On non-trade concerns, I want to take this opportunity to inform the House again that I continue to take every opportunity to raise the issue of recognition for non-trade concerns in the WTO negotiations. The Doha mandate, which sets out in broad terms the objectives of this round of WTO negotiations, provides for the recognition of non-trade concerns in the final agreement. I will continue to seek to have these issues addressed in the ongoing negotiations. It is worth noting that at last Monday's Council of Agriculture Ministers meeting, my position on the importance of non-trade concerns was also picked up by a number of other member states.

Having said that, I need to correct what appears to be a mistaken understanding of where we are in regard to non-trade concerns and the WTO since there is an impression out there that the WTO is completely silent on that matter. I draw the attention of the House to the fact that the WTO rules, and specifically the WTO Sanitary and Phyto-Sanitary Agreement, provide for the application of equivalent levels of protection for consumers in regard to imports. It is in this context that exports of Brazilian beef to the EU are currently restricted.

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