EU trade policies 'harm the poorest'

Sunday 12th December 2004 at 00:00
EU trade policies 'harm the poorest'

The chancellor has called on the European Union to cut back on the subsidies given to some food exporters.

Speaking on ITV1's Jonathan Dimbleby programme, Gordon Brown also predicted that the new team of European commissioners would begin to change past policies.

Peter Mandelson, the new trade commissioner who has a long-running feud with the chancellor, will be a key figure in developing new policies and continuing Doha trade talks.

"We can make progress in my view and I think the European trade commissioner will be one of these people to make progress over the next year," said Brown.

"I think there is a basic unfairness that has been built into the world trade system over time because of the protectionism of the richest countries and I think Europe has had to admit that the export subsidies that it practices are protectionist, that they harm the poorest countries, that they’ve got to be got rid of, and Europe has now given itself a commitment that it will abandon export subsidies."

The chancellor said he had been concerned that the expansion of the EU eastwards where there are more farmers could have hampered attempts to reform policies such as the common agricultural policy.

"Fortunately I believe that existing member states now recognise that the export subsidies... have got to go," he said.

"Now there is more to do, and there is more people to be persuaded than just Europe, of course America and other countries that have been protectionist, but I believe that the moral and intellectual arguments have been won."

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