FAO Says New Trade Rules to Benefit Some Developing Countries

The Food and Agriculture Organization (FAO) in its latest Annual Report on the State of Agricultural Commodity Markets 2006 says that multilateral agricultural trade policy report will stimulate trade and economic growth but that they should be compatible with the first Millennium Development Goal. It noted however, that poorer countries such as those in sub-Saharan Africa will not gain as much as more advanced exporting countries from these trade rules due to economic structures, competitiveness, and capacity to respond to new market incentives.

The report focuses on market access issues and the measures needed to ensure that trade policy reform contributes effectively to reducing poverty and food insecurity. An agreement has to be reached among countries that will lead to a less distorted agricultural trading environment and one which recognizes food security and development needs, and the priorities of developing countries.

See FAO’s release at http://www.fao.org/newsroom/en/news/2007/1000536/index.html