Brussels, 26/09/2001 (Agence Europe) - During the third extraordinary session of the WTO Committee on Agriculture held in Geneva over the last few days, the European Commission presented two new proposals to its partners, on behalf of the EU. The first is on the protection of geographical indications and the second on "green box" measures (domestic support deemed to be minimally trade-distorting and that is excluded from reduction commitments under the Uruguay Round Agreement on Agriculture, URAA).
Regarding geographical indications, the European Union emphasises the importance of increased market access for products of certain denominations. The Commission calls for a suitable system to be found allowing: - effective protection for products against the usurpation of names and the right to use geographical indicators or designations of origin; - consumer protection; and - a guarantee of fair competition. The Commission explains that, when an agri-food product becomes well-known outside its area or origin, "it may have to compete with different and yet similar products making use of the same name". It adds that it may even be excluded from exploiting its own geographical name because local producers have converted it into a trademark. The Commission recalls that the producers affected suffer economic losses, that the reputation of products is compromised and that this situation also creates frustration among consumers as they do not receive the specific quality of product which the label suggests they are buying. It is therefore important, sums up European negotiator David Roberts, that increased market access should go hand in hand with enhanced protection. The Commission adds that access of this kind of product to the market is important not only for the EU but also for developing countries which possess a great richness and variety of food products based on traditional know-how. "We cannot let people believe that they are buying a genuine product with specific qualities, characteristics and reputation associated with a certain geographical origin, such as Parma Ham or Champagne, while in fact they get an entirely different product", added Mr Roberts. In the second document, the Commission stresses that the current provisions of the "green box" have helped to implement environmental protection measures and safeguard the viability of rural areas. It would, however, like to go further by proposing to add to this measures that concern animal welfare, without distorting trade.
Fischler recalls EU is willing to go further with free market access
In a speech delivered in Belfast on Wednesday, during the Conference on European Agriculture, Commissioner Franz Fischler declared that the international community should not allow terrorism to disrupt international trade relations. He stressed the EU's constructive approach to negotiations on liberalisation of agricultural trade and pointed out that the EU was willing to open up its market more. Mr Fischler, however, expressed his disappointment regarding the attitude of certain countries (of the Cairns group), which remain camped on their extreme positions. "We say 'yes' to further liberalisation, provided all countries move in the same direction. We say 'yes' to further reductions in our export subsidies, provided that other trade-distorting export supports used by our trading partners are also disciplined. But it is simply not enough to focus only on trade. We cannot ignore the important role environment or food safety plays in agriculture. One thing has to be clear though: every democratic society has the right to choose its own agricultural policy. What is important in an international context is to limit its trade-distorting effects. This is exactly the content of the EU's negotiation position", he said.
Mr Fischler drew the audience's attention to the fact that mid-term assessment of the Common Agricultural Policy (CAP) did not depend on the outcome of the trade negotiations under the aegis of WTO: "We must first review our policy, and subsequently position ourselves in terms of that policy on an international level, not the other way round". On the subject of enlargement, Mr Fischler said that he did not see any insurmountable problems as far as the market management is concerned, but that it is absolutely necessary to avoid having a "two-tier CAP". "If we introduce direct payments", he explained, "we will have to ensure that they are introduced in a smooth way, avoiding unnecessary social imbalances". The transitional solution would be to ensure that the new Member States reform their rural sector thanks to "intensive" rural development programmes, in respect of the financial framework that Agenda 2000 has set.