Agriculture seems to be a difficult sector to manage for most governments. Developing countries face tough dilemmas in deciding on appropriate price poli eies to stimulate food production and maintain stable, preferably low, prices for poor consumers. Governments in developed countries face similar difficult deci sions. They are called upon to give income guarantees to farmers whose incomes are unstable and relatively low when compared to those in the nonagricultural sector. These guarantees often lead to ever-increasing budgetary outlays and unwanted agricultural surpluses. High prices make new investments and the application of new technologies more attractive than world prices warrant, and a process is set in motion where technological innovation attains amomenturn of its own, in turn requiring price policies that maintain their rates of return. Surpluses are disposed of with subsidies in domestic markets or in the international market. Price competition reduces the market share of other exporters, who may be efficient producers, unless they are willing to engage in subsidy competition. This lowers export earnings and farm incomes or depletes the public resources of developing countries that export competing products. Retaliatory measures have led to frictions and further distortions of world prices. Every so orten the major agricultural exporters - the USA, the EC, Aus tralia, or Canada - accuse one another of unfair intervention. Though they have agreed to discuss agricultural trade liberalization under GATT negotiations, if anything, the expenditure on farm support has continued to increase in both the EC and the USA.

Most of the U.S. agricultural export gains under FTAs have occurred with Canada and Mexico, the top two U.S. agricultural trading partners. Though U.S. sales to overseas markets were expected to increase anyway because of population growth and income gains, analyses suggest that the FTAs recently put into effect or concluded since 2004 could boost U.S. agricultural exports by an additional 2.0% to 2.7%. Large gains are also projected under the potential FTA with South Korea. Because of the reciprocity introduced into the agricultural trading relationship in those FTAs concluded with several developing countries that protect their farm sectors with high tariffs and restrictive quotas, U.S. exporters will benefit from increased sales. Net U.S. agricultural imports under these FTAs could be 1.4% higher than forecast. The share of two-way U.S. agricultural trade (exports and imports) covered by FTAs has increased from 1% in 1985 (when the first FTA took effect) to 41% in 2006 (reflecting FTAs with 13 countries). Ranked in order, they are Canada, Mexico, Australia, Chile, Guatemala, Honduras, Israel, El Salvador, Singapore, Morocco, Nicaragua, Jordan, and Bahrain. If trade is included with nine other countries with which FTAs have been: approved but are not yet in effect (Costa Rica and Oman); concluded and awaiting consideration in the 110th Congress (Colombia, Panama, Peru and South Korea); recently took effect (Dominican Republic); and may be concluded (Thailand and Malaysia), another 9% of U.S. agricultural trade would be covered.

This book explores the extent to which EU Free Trade Agreements (FTAs) pursue sustainable agriculture in third country parties. It contends that this should be part of a duty for the EU enshrined in the Treaties to promote its fundamental values in its external action. It suggests that the extent to which this occurs in practice, may be reviewed judicially by the Court of Justice of the European Union. Against this background, selected agreements concluded by the EU with developed and developing countries (Canada, South Korea, Ukraine, Chile, SADC countries and Vietnam) are taken as case studies. The author concludes that, in spite of the remarkable progress made hitherto, EU trade policy is still far from being in line with the increasingly strong commitment of the EU to take the lead in the international arena for environmental and climate matters. This work adopts primarily a legal methodology, but it broaches the subject in interdisciplinary terms. It is addressed not only to (EU) policy-makers, but also to scholars of different fields and to the wider public interested in topics that have become of common concern for the future of our planet. With a foreword by Daniel Calleja Crespo, Director General of the European Commission - DG Environment

From the U.S.-Canada Free Trade Agreement through the North American Free Trade Agreement and the Uruguay Round of negotiations for the General Agreement on Tariffs and Trade, the United States has been involved in major trade policy discussions. This study reviews the contents and implications of the trade agreements, as well as the consequences of failing to secure agricultural trade policy reform.