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focusable="false" aria-hidden="true" data-ecl-icon><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#corner-arrow"></use></svg></span></button><div class="ecl-menu__mega" data-ecl-menu-mega ><ul class="ecl-menu__sublist"><li class="ecl-menu__subitem" data-ecl-menu-subitem ><a href="https://agridata.ec.europa.eu/" class="ecl-link ecl-link--standalone ecl-menu__sublink" data-untranslated-label="Agri-food data portal" >Agri-food data portal</a></li><li class="ecl-menu__subitem" data-ecl-menu-subitem ><a href="/data-and-analysis/financing_en" class="ecl-link ecl-link--standalone ecl-menu__sublink" data-untranslated-label="Financing" >Financing</a></li><li class="ecl-menu__subitem" data-ecl-menu-subitem ><a href="/data-and-analysis/sustainability-and-organic-farming_en" class="ecl-link ecl-link--standalone ecl-menu__sublink" data-untranslated-label="Sustainability and organic farming data" >Sustainability and organic farming data</a></li><li class="ecl-menu__subitem" data-ecl-menu-subitem ><a href="/data-and-analysis/employment-and-growth_en" class="ecl-link ecl-link--standalone ecl-menu__sublink" data-untranslated-label="Employment and growth in rural areas" >Employment and growth in rural areas</a></li><li class="ecl-menu__subitem" data-ecl-menu-subitem ><a href="/data-and-analysis/markets_en" class="ecl-link ecl-link--standalone ecl-menu__sublink" data-untranslated-label="Markets" >Markets</a></li><li class="ecl-menu__subitem" data-ecl-menu-subitem ><a href="/data-and-analysis/farm-structures-and-economics_en" class="ecl-link ecl-link--standalone ecl-menu__sublink" data-untranslated-label="Farm structures and economics" >Farm structures and economics</a></li><li class="ecl-menu__subitem ecl-menu__see-all"><a href="/data-and-analysis_en" class="ecl-link ecl-link--standalone ecl-link--icon ecl-menu__sublink" ><span class="ecl-link__label">See all</span><svg class="ecl-icon ecl-icon--xs ecl-icon--rotate-180 ecl-link__icon" 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href="/international/agricultural-trade_en" class="ecl-link ecl-link--standalone ecl-link--no-visited ecl-breadcrumb__link" >Agricultural international trade</a><svg class="ecl-icon ecl-icon--fluid ecl-breadcrumb__icon" focusable="false" aria-hidden="true" role="presentation"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#corner-arrow"></use></svg></li><li class="ecl-breadcrumb__segment ecl-breadcrumb__current-page" data-ecl-breadcrumb-item="static" aria-current="page">The WTO and EU agriculture</li></ol></nav><div class="ecl-page-header__info"><h1 class="ecl-page-header__title"><span>The World Trade Organization and EU agriculture</span></h1></div><div class="ecl-page-header__description-container"><p class="ecl-page-header__description">Details on how the EU supports the work of the WTO, the Agreement on Agriculture, and EU priorities in agricultural negotiations.  </p></div></div></div> </div> <main class="ecl-u-pb-xl" id="main-content" 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class="ecl-inpage-navigation__body"><div class="ecl-inpage-navigation__trigger-wrapper"><button type="button" class="ecl-inpage-navigation__trigger" id="ecl-inpage-navigation-2003051548-trigger" data-ecl-inpage-navigation-trigger="true" aria-controls="ecl-inpage-navigation-list" aria-expanded="false"><span class="ecl-inpage-navigation__trigger-current" data-ecl-inpage-navigation-trigger-current="true">Page contents</span><svg class="ecl-icon ecl-icon--xs ecl-icon--rotate-180 ecl-inpage-navigation__trigger-icon" focusable="false" aria-hidden="false" ><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#corner-arrow"></use></svg></button></div><ul class="ecl-inpage-navigation__list" data-ecl-inpage-navigation-list="true" id="ecl-inpage-navigation-2003051548-list"></ul></div></nav> </div> <div class="ecl-col-l-9" data-inpage-navigation-source-area="h2, div.ecl-featured-item__heading"> <div class="ecl-u-mb-2xl"> <a id="paragraph_346"></a> <div class="ecl"><h2 id="wtooverview">WTO overview</h2> <p>The <a href="https://www.wto.org/english/thewto_e/thewto_e.htm" class="ecl-link ecl-link--icon ecl-link--icon-after"><span class="ecl-link__label">World Trade Organization</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a> (WTO) was established in 1995, forming the cornerstone of a rules-based, multilateral system for trade. The WTO is a member-driven organisation with 164 members (July 2019). Its core activities are:</p> <ul> <li>multilateral trade negotiations aimed at progressive liberalisation of markets;</li> <li>setting the legal ground-rules for trade in the form of agreements;</li> <li>resolving trade disputes between members;</li> <li>monitoring members’ trade policies.</li> </ul> <p>The European Union is a member of the WTO and as the world’s largest trading bloc, the EU is a key player in the WTO. The European Commission represents the EU, negotiating as a single entity on behalf of all the EU countries. The EU actively supports the work of the WTO in multilateral rule making and trade liberalisation, seeking to:</p> <ul> <li>maintain open markets and ensure new markets for European companies;</li> <li>strengthen multilateral rules and ensure their observance by others;</li> <li>promote sustainable development in trade.</li> </ul> <p>The current rules were negotiated during the Uruguay Round (1986-1994), leading to the Marrakesh Agreement establishing the World Trade Organization. The Marrakesh Agreement is in fact a series of agreements on various aspects of trade rules. They include a revision of the 1947 General Agreement on Tariffs and Trade (GATT), as well as agreements on intellectual property, dispute settlement, technical barriers to trade, sanitary and phytosanitary rules and in particular, agriculture.</p> <h3>Related information</h3> <p><a href="https://policy.trade.ec.europa.eu/eu-trade-relationships-country-and-region/eu-and-wto_en" class="ecl-link">EU trade and WTO</a></p> <p><a href="https://www.eeas.europa.eu/delegations/world-trade-organization-wto/european-union-and-world-trade-organization_en">EU mission to the WTO</a></p> <h3>Dispute settlement</h3> <p>The WTO provides a mechanism for member countries to resolve disputes between members related to the implementation of WTO agreements.</p> <p><a href="https://policy.trade.ec.europa.eu/enforcement-and-protection/dispute-settlement/wto-dispute-settlement_en#_policy%20" class="ecl-link">Dispute settlement and cases</a></p> <h2 id="wtoandagriculture">WTO and agriculture</h2> <p>The importance of agriculture in global trade led to a specific agreement on agriculture, which governs domestic support, export competition (in particular, subsidies) and market access.</p> <h3>Agreement on Agriculture</h3> <p><a href="https://www.wto.org/english/docs_e/legal_e/14-ag_01_e.htm" class="ecl-link ecl-link--icon ecl-link--icon-after"><span class="ecl-link__label">The WTO Agreement on Agriculture</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a> aims to establish ‘a fair and market-oriented agricultural trading system’. It sets out rules applicable to all WTO members to provide for substantial progressive reductions in agricultural support and protection. The agreement was part of the results achieved during the Uruguay Round, making a decisive move towards increased market orientation in global agriculture.</p> <p>In addition to general rules that apply to all WTO members, the agreement also contains specific commitments made by individual members, including on agricultural trade and support, and tariffs and tariff-rate quotas. These are laid down in ‘schedules’.</p> <p>The <a href="https://www.wto.org/english/tratop_e/agric_e/ag_work_e.htm" class="ecl-link ecl-link--icon ecl-link--icon-after ecl-link"><span class="ecl-link__label">Committee on Agriculture</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a> oversees the implementation of the commitments stemming from the agreement. All WTO members are represented in the committee and may consult each other on the implementation of the agreement. Members notify their implementation of commitments and answer questions from other members. The review of notifications is part of the committee’s key responsibility to oversee members’ compliance with their commitments.</p> <h3>Domestic support and the ‘boxes’</h3> <p>The Uruguay Round changed the way in which governments may design domestic agricultural policies. The Agreement on Agriculture classifies domestic agricultural support into different types, which are often described as falling into different ‘boxes’. Trade-distorting support (amber box) measures are subject to limits: a de minimis limit applies to all members with additional amounts (described in WTO as aggregate measurement of support or AMS commitments) applying to some members based on pre-Uruguay Round expenditure. Other support – that has no or minimal trade or production-distorting effects (green box) – and certain production limiting programmes (blue box), are not subject to limits.</p> <h3>Market access</h3> <p>The Uruguay Round in agriculture replaced many non-tariff measures with ordinary customs duties as well as providing for cuts in tariffs. In return, the Agreement on Agriculture provided for the special safeguard mechanism to allow temporary additional tariffs on imports of some agricultural products under special circumstances, such as a sudden surge in imports (volume trigger) or a fall of the import price below a specified reference price (price trigger). 38 WTO Members, including the EU, have the right to use special safeguard measures as set out in their schedules.</p> <h3>Export competition</h3> <p>Under the Agreement on Agriculture, the use of export subsidies and some other export measures was restricted. However, at the Nairobi Ministerial Conference in December 2015, WTO members went much further and agreed to abolish export subsidies. Developed countries had to do so with immediate effect (with some transitional periods until the end of 2020), developing countries by the end of 2023 and least developed countries by the end of 2030. In addition, the <a href="https://www.wto.org/english/thewto_e/minist_e/mc10_e/nairobipackage_e.htm" class="ecl-link ecl-link--icon ecl-link--icon-after"><span class="ecl-link__label">Nairobi Package</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a> imposes disciplines on export credits and export credit guarantees, international food aid and exporting agricultural export state trading enterprises.</p> <h4>Related information</h4> <p><a href="https://www.wto.org/english/tratop_e/agric_e/ag_intro02_access_e.htm" class="ecl-link ecl-link--icon ecl-link--icon-after ecl-link"><span class="ecl-link__label">Market access explained</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a></p> <p><a href="https://www.wto.org/english/tratop_e/agric_e/ag_intro03_domestic_e.htm" class="ecl-link ecl-link--icon ecl-link--icon-after ecl-link"><span class="ecl-link__label">Domestic support explained</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a></p> <p><a href="https://www.wto.org/english/tratop_e/agric_e/ag_intro04_export_e.htm" class="ecl-link ecl-link--icon ecl-link--icon-after"><span class="ecl-link__label">Export competition/subsidies explained</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a></p> <h3>WTO Ministerial Conferences</h3> <p>The Ministerial Conference is the highest decision making body at the WTO. All WTO members, including the EU, may attend the conference, which usually takes places every two years. In recent years, two conferences have resulted in important changes for the trade in agricultural products.</p> <ul> <li>In <a href="https://www.wto.org/english/thewto_e/minist_e/mc9_e/brief_agneg_e.htm" class="ecl-link ecl-link--icon ecl-link--icon-after"><span class="ecl-link__label">Bali in 2013</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a>, four important steps were taken. Members reached an agreement on a temporary ‘peace clause’ with a view to negotiating a permanent solution on public stockholding for food security purposes. They also adopted a declaration on exercising utmost restraint in the use of all forms of export subsidies, and expanded the list of general services in the green box. In addition, a decision was adopted providing for further transparency in the administration of tariff-rate quotas, with mechanisms for systematically under-filled quotas.</li> <li>In <a href="https://www.wto.org/english/thewto_e/minist_e/mc10_e/briefing_notes_e/brief_agriculture_e.htm" class="ecl-link ecl-link--icon ecl-link--icon-after"><span class="ecl-link__label">Nairobi in 2015</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a>, WTO members continued the work started in Bali, adopting a decision on abolishing export subsidies for farm exports and providing for disciplines on export credits and export credit guarantees, international food aid and agricultural export state trading enterprises. They also agreed to continue negotiations on agriculture, on public stockholding for food security purposes and market access, and a linked special safeguard mechanism for developing countries.</li> </ul> <p>The 12th Ministerial Conference took place from 12 to 17June 2022 in Geneva, Switzerland, having been postponed in 2020 due to the Covid-19 pandemic. The outcome package on agriculture comprised of a <a href="https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/MIN22/28.pdf&Open=True" class="ecl-link ecl-link--icon ecl-link--icon-after ecl-link"><span class="ecl-link__label">Ministerial Declaration on the emergency response to food insecurity</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a> (WT/MIN(22)/28) and a Ministerial Decision on exempting Wold Food Programme (<a href="https://docs.wto.org/dol2fe/Pages/SS/directdoc.aspx?filename=q:/WT/MIN22/29.pdf&Open=True" class="ecl-link ecl-link--icon ecl-link--icon-after ecl-link"><span class="ecl-link__label">WFP</span><svg xmlns:xlink="http://www.w3.org/1999/xlink" class="ecl-icon ecl-icon--xs ecl-link__icon" focusable="false" aria-hidden="true"><use xlink:href="/themes/contrib/oe_theme/dist/ec/images/icons/sprites/icons.svg#external"></use></svg></a>) humanitarian food purchases from export prohibitions or restrictions (WT/MIN(22)/29). Both respond to demands from the international community for immediate action by WTO members to address the current food security challenges.</p> <h2 id="euagriculture">EU agriculture</h2> <p>The EU has transformed its agricultural support programme to further develop a fair and transparent market based policy. This process started before the Uruguay Round and has continued to the present day. It promotes the use of less trade-distorting policy instruments. Most support to farmers is now granted in the form of decoupled direct payments with no obligation to produce. The graph below shows the shift in the EU’s policy from amber box measures to non-trade-distorting green box support. The other graphs below show developments for other major trading partners.</p> <h3>Developments in EU domestic support</h3> <article> <div><script type="application/json">{"service":"charts","version":"2.0","custom":["\/\/ec.europa.eu\/assets\/agri\/js\/custom-wto-eu-graph.js"]}</script> </div> </article> <h3>Developments in notified domestic support for other members</h3> <article> <div><script type="application/json">{"service":"charts","version":"2.0","custom":["\/\/ec.europa.eu\/assets\/agri\/js\/custom-wto-usa-graph.js"]}</script> </div> </article> <article> <div><script type="application/json">{"service":"charts","version":"2.0","custom":["\/\/ec.europa.eu\/assets\/agri\/js\/custom-wto-china-graph.js"]}</script> </div> </article> <article> <div><script type="application/json">{"service":"charts","version":"2.0","custom":["\/\/ec.europa.eu\/assets\/agri\/js\/custom-wto-india-graph.js"]}</script> </div> </article> <article> <div><script type="application/json">{"service":"charts","version":"2.0","custom":["\/\/ec.europa.eu\/assets\/agri\/js\/custom-wto-japan-graph.js"]}</script> </div> </article> <article> <div><script type="application/json">{"service":"charts","version":"2.0","custom":["\/\/ec.europa.eu\/assets\/agri\/js\/custom-wto-norway-graph.js"]}</script> </div> </article> <h2 id="negotiations">Negotiations</h2> <h3 id="process">Process</h3> <p>The current negotiation round was launched in November 2001 in Doha, Qatar. The so-called ‘Doha Round’ or the ‘<a href="https://policy.trade.ec.europa.eu/eu-trade-relationships-country-and-region/eu-and-wto/doha-development-agenda_en" class="ecl-link">Doha Development Agenda</a>’ focused on further liberalising trade, whilst making it easier for developing countries to integrate into the WTO multilateral system. Despite the EU's efforts, negotiations in agriculture have stalled. Changes in levels of economic development have in particular increased the importance of some developing countries as major exporters and players in agricultural trade. Negotiations are blocked particularly due to the unwillingness of some WTO members to reform their agricultural policies.</p> <p>Nevertheless, WTO members continue to negotiate to reform agricultural trade. This takes place during special sessions of the Committee on Agriculture with a view to making proposals for the WTO ministerial conferences.</p> <h3>EU priorities in agricultural negotiations</h3> <p>The EU will continue to promote multilateralism and international cooperation. The WTO and a rules-based and inclusive international trading system are vital for global food security and development. Concerning agricultural trade, the EU will carry on working towards a fairer, more transparent system. For the three pillars of the Agreement on Agriculture, the EU has the following priorities.</p> <p><strong>Domestic support</strong>: reducing trade-distorting measures is an important step towards a fairer agricultural trading system. The EU has transformed its domestic support system, which now mostly comprises non-trade distorting measures. This has improved the functioning of the market for agricultural goods and trade. The EU will continue to press for other members to do the same.</p> <p><strong>Market access</strong>: market access for agricultural products forms an integral part of the global trading system. Improvements in market access at the WTO could be achieved best by inclusive and comprehensive negotiations that encompass both agricultural and non-agricultural market access and services. Market access issues are also naturally at the heart of bilateral negotiations for free-trade agreements.</p> <p><strong>Export competition</strong>: the EU believes that further negotiations should build on the steps taken in Nairobi, notably with regard to further disciplines on export credits and export credit guarantees, international food aid, and agricultural export state trading enterprises.</p></div> </div> </div> </div> </div> </div> </article> </div> <div data-inpage-navigation-source-area="h2"> <div id="block-eventsbysubjectdisplayonlandingpagesnothomepage"> <div class="ecl-u-mb-2xl"> <a id="paragraph_3749"></a> <div id="block-eventsbysubject" class="ecl-u-mt-l"> </div> </div> </div> <div id="block-newsbysubjectdisplayonlandingpagesnothomepage"> <div class="ecl-u-mb-2xl"> <a id="paragraph_3247"></a> <div id="block-newsbysubject" class="ecl-u-mt-l"> <div class="ecl-content-item-block"><div class="ecl-row"><div class="ecl-content-item-block__title ecl-col-12"><h2 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