Thailand, Australia and Brazil oppose EU sugar export expansion

BANGKOK, 2 February 2010 (NNT) – Thailand, Australia and Brazil expressed concern about the sugar export expansion of the European Union (EU) by 500,000 tons. The three countries indicated that the plan would be a breach of WTO‘s regulation.

The three countries issued a joint statement showing their concern on the EU’s declaration to expand the export quota of sugar, which was produced with the EU’s support as it would be against the regulation of WTO. Brazilian Ambassador to WTO, Roberto Azevedo, stated that Thailand, Australia and Brazil might take a bilateral or multilateral measure to resolve such controversy as the process defined WTO’s rules. Mr Azevedo said that the EU’s proposition misled the European farmers and would lead to over production of sugar.

Meanwhile, Ms Mariann Ficher Boel, the Agricultural Commissioner of EU said that the export expansion would be implemented from now until July, and it was not a violation of the obligation under WTO’s regulation. She added that the EU normally was allowed to export sugar under the support program at a maximum volume of 1.34 million tons.