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Update on WTO Ruling that U.S. Cotton Subsidies Are Illegal

From: IDEAS Centre
Newsletter n°17 COTTON UPDATE - 23rd March 2005

Yesterday, the WTO's Dispute Settlement Body adopted the Appellate Body report on the complaint of Brazil against the United States concerning "Subsidies on Upland Cotton". The Appellate Body confirmed most of the findings of an earlier WTO panel that ruled that US cotton subsidises were in violation of WTO rules on agriculture and subsidies.

In particular, the Appellate Body stated that certain US payments to farmers, such as "production flexibility contract payments" (PFC) and "direct payments" could no longer be categorised as "Green Box" support, but as "Amber Box" ...snip...

Imboden, former Swiss trade negotiator and Ambassador in charge of economic cooperation with developing countries.