Policy Sections
Mini Sections
The WTO has upheld a previous ruling against the EU's sugar support regime. Planned EU reform will now be speeded up.
The EU's much criticised sugar export support scheme was dealt a final blow when a WTO appeal body upheld a ruling from 2004, which was sparked by a complaint launched by Australia, Brazil and Thailand.
EU will now be forced to slash its subsidies, which have been continuously accused of trade distortion by both would-be-competitors in developing nations and NGOs such as Oxfam.
The Commission was disappointed by the ruling but said it would abide by it: "Any changes that need to be made to the EU sugar market organisation to take account of this ruling will be included in the Commission’s sugar reform proposals, which will be published on 22 June."
The European sugar producers, CEFS, called the ruling "extremely astonishing" and was shocked by the Commission's lighthearted treatment of it.