UK-Australia trade deal: when a cap on farm goods is not a cap

Once again the British government has over-claimed on the effects of an agreement

By Peter Ungphakorn
POSTED JUNE 18, 2021 | UPDATED JUNE 20, 2021

“British farmers will be protected by a cap on tariff-free imports for 15 years, using tariff rate quotas and other safeguards,” declared the UK International Trade Department on June 15, 2021.

But will they, though? The text of the agreement-in-principle between Britain and Australia has now been published (also in several formats on the Australian government website).

It is not a final deal. Much of the text is in the future tense — agreement between the two “will include” this that and the other. Negotiations continue.

A note at the end of the text, which the Australian government calls a “disclaimer”, says:

DISCLAIMER: This document reflects what the UK and Australian FTA [free trade agreement] negotiating teams have jointly decided as of 16 June 2021 should be included in the FTA once it is finalised. It does not prejudge the outcome of the FTA negotiations or any further proposals for FTA commitments either the UK or Australia may make after this date. It is also not intended to create any treaty obligations.”

But it does show some of what is intended for agricultural products.

Continue reading “UK-Australia trade deal: when a cap on farm goods is not a cap”

Ngozi Okonjo-Iweala is the new WTO chief, but let’s not get carried away

The director-general’s powers are limited, so don’t expect miracles. And don’t blame her if problems stay unresolved

By Peter Ungphakorn
POSTED FEBRUARY 15, 2021 | UPDATED FEBRUARY 18, 2021

Now that Ngozi Okonjo-Iweala has been confirmed as the next director-general of the World Trade Organization (WTO) it’s tempting to see light at the end of the tunnel for the troubled negotiating forum and guardian of the resulting agreements.

First woman director-general. First African. Finally, someone at the helm after almost a year effectively without a leader. All those headlined proclamations are true. The excitement is justified, to some extent.

Continue reading “Ngozi Okonjo-Iweala is the new WTO chief, but let’s not get carried away”

WTO agriculture talks 2021: where ambition and cynicism collide

Prospects and developments in the WTO agriculture negotiations in 2021

By Peter Ungphakorn
POSTED FEBRUARY 4, 2021 | UPDATED JULY 23, 2021

A strange atmosphere surrounds the agriculture talks in the World Trade Organization (WTO), which resumed on Friday February 5, 2020 and continued through to July, as members to submitted numerous new proposals on a wide range of issues. Consensus stays blocked, even on subjects that ought to be simple.

Continue reading “WTO agriculture talks 2021: where ambition and cynicism collide”

WTO farm talks: from COVID-19 into 2021. 1 Pertinent questions

Lessons from the pandemic for WTO work on agricultural trade and support. Part 1

By Peter Ungphakorn
POSTED DECEMBER 31, 2020 | UPDATED DECEMBER 31, 2020

In this 3-part series (plus one):

1. The pertinent questions | 2. What’s been happening inside and outside the WTO | 3. Policy responses: from confidence-building to a work programme | (Plus: References)

Based on, with updates,
Chapter 20 (“Lessons from the pandemic for WTO work on agricultural trade and support”) in the CEPR e-book “Revitalising Multilateralism: Pragmatic Ideas for the New WTO Director-General” edited by Richard Baldwin and Simon Evenett

For once, this might be a good time to rethink how agriculture is handled in the WTO, with hope of some success after years of going nowhere. The need to respond to the COVID-19 crisis is an opportunity to examine where the trade rules help or hinder sound policies.

That also requires an understanding of what trade rules do and do not do — WTO rules are not prescriptions.

This is the first part of a series on lessons from the pandemic for agriculture in the WTO and the prospects for the coming year.

It kicks the series off by examining the context and the often-misunderstood framework of what the WTO does and does not do before moving on to the issues. There’s no point in calling for actions that are outside the WTO’s remit.

Continue reading “WTO farm talks: from COVID-19 into 2021. 1 Pertinent questions”

WTO farm talks: from COVID-19 into 2021. 2 What’s been happening

Lessons from the pandemic for WTO work on agricultural trade and support. Part 2

By Peter Ungphakorn
POSTED DECEMBER 31, 2020 | UPDATED DECEMBER 31, 2020

In this 3-part series (plus one):

1. The pertinent questions | 2. What’s been happening inside and outside the WTO | 3. Policy responses: from confidence-building to a work programme | (Plus: References)

Based on, with updates,
Chapter 20 (“Lessons from the pandemic for WTO work on agricultural trade and support”) in the CEPR e-book “Revitalising Multilateralism: Pragmatic Ideas for the New WTO Director-General” edited by Richard Baldwin and Simon Evenett

Fears that the pandemic would lead to a flood of export restrictions and other disruptive policies have proved to be largely unfounded. The main impact has been from travel restrictions and other measures aimed directly at preventing the disease from spreading.

This is the second part of the series on lessons from the pandemic for agriculture in the WTO, and prospects for 2021. It looks at what’s been happening inside and outside the organisation, before continuing on to possible work ahead.

Continue reading “WTO farm talks: from COVID-19 into 2021. 2 What’s been happening”

WTO farm talks: from COVID-19 into 2021. 3 Trust and understanding

Lessons from the pandemic for WTO work on agricultural trade and support. Part 3

By Peter Ungphakorn
POSTED DECEMBER 31, 2020 | UPDATED DECEMBER 21, 2021

In this 3-part series (plus one):

1. The pertinent questions | 2. What’s been happening inside and outside the WTO | 3. Policy responses: from confidence-building to a work programme | (Plus: References)

Based on, with updates,
Chapter 20 (“Lessons from the pandemic for WTO work on agricultural trade and support”) in the CEPR e-book “Revitalising Multilateralism: Pragmatic Ideas for the New WTO Director-General” edited by Richard Baldwin and Simon Evenett

It may seem strange to start an examination of WTO policy responses by discussing process. But paying attention to it might be necessary to break out of the current rut and to actually end up with agreement.

JUMP TO
Process
Towards a work programme
Export restrictions
Domestic support | Green Box | Amber Box
Market access
Labour
Conclusion

This is the third and final part of the series on lessons from the pandemic for agriculture in the WTO. This part looks at what might be achieved in the short term, and how.

The main emphasis is “in the WTO” because a lot of the ideas floating around are outside the WTO’s role. We might think they are “good ideas” (or we might not), but there’s not much point in pushing them in the WTO if the WTO is irrelevant.

Continue reading “WTO farm talks: from COVID-19 into 2021. 3 Trust and understanding”

WTO farm talks: from COVID-19 into 2021. 4 References

Lessons from the pandemic for WTO work on agricultural trade and support. Part 4

By Peter Ungphakorn
POSTED DECEMBER 31, 2020 | UPDATED DECEMBER 31, 2020

In this 3-part series (plus one):

1. The pertinent questions | 2. What’s been happening inside and outside the WTO | 3. Policy responses: from confidence-building to a work programme | (Plus: References, this page)

Based on, with updates,
Chapter 20 (“Lessons from the pandemic for WTO work on agricultural trade and support”) in the CEPR e-book “Revitalising Multilateralism: Pragmatic Ideas for the New WTO Director-General” edited by Richard Baldwin and Simon Evenett

References
Continue reading “WTO farm talks: from COVID-19 into 2021. 4 References”

FACT CHECK: Which UK geographical indications are in its trade deal with Japan?

The British government shouldn’t spoil the achievements of the deal by making exaggerated claims

By Peter Ungphakorn
POSTED OCTOBER 26, 2020 | UPDATED JANUARY 25, 2021

Britain’s new trade agreement with Japan contains some improvements over the EU-Japan deal it rolls over, but some of London’s claims don’t stand up to scrutiny.

“It’s a roll-over of the EU deal with extra bits. And that’s a success too. That’s still better than we thought we’re going to get. Why not just say that?” tweeted trade advisor Anna Jerzewska.

She was commenting on the claim by International Trade Secretary Liz Truss that this “first trade agreement” for Britain “as an independent trading nation” has “major wins that would be impossible as part of the EU.”

Continue reading “FACT CHECK: Which UK geographical indications are in its trade deal with Japan?”

Behind the rhetoric: Does the WTO need a third ‘safeguard’ against import surges?

And does COVID-19 make it essential even though it was central to the failure to wrap up the Doha Round 12 years ago?

By Peter Ungphakorn
POSTED AUGUST 30, 2020 | UPDATED AUGUST 31, 2020

On July 29, 2008, an attempt by a group of trade ministers to conclude the Doha Round of World Trade Organization (WTO) negotiations collapsed in acrimony.

Pascal Lamy, who had chaired the talks as WTO director-general, said members had converged towards consensus on 18 out of 20 outstanding topics. They had failed on the 19th, he said: the “special safeguard mechanism”.

India’s representative at the time, Commerce Minister Kamal Nath, was scathing. “The most important thing was the livelihood security, the vulnerability of poor farmers, which could not be traded off against the commercial interests of the developed countries,” he told journalists.

Continue reading “Behind the rhetoric: Does the WTO need a third ‘safeguard’ against import surges?”

Will ‘Melton Mowbray’ stay protected in the EU after the Brexit transition?

The UK has agreed to keep EU names protected, but what about UK names in the EU?

By Peter Ungphakorn
POSTED AUGUST 29, 2020 | UPDATED JANUARY 10, 2021

News that Britain wanted to renegotiate a deal struck in the Brexit Withdrawal Agreement on geographical indications — names such as Scotch whisky, Melton Mowbray pies, Cognac and Roquefort cheese — has triggered a discussion about what exactly was agreed, what wasn’t included and why not.

A report in The Guardian (echoing some earler reports) said the EU was “flabbergasted” that the UK wanted to water down the deal on geographical indications. “It’s just not going to happen,” the report quoted an EU official as saying.

Continue reading “Will ‘Melton Mowbray’ stay protected in the EU after the Brexit transition?”