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Farm Bureau leaders have been noting for months that the next farm bill will be shaped in large part by the World Trade Organization’s current round of multilateral trade negotiations. That view was confirmed quite clearly on Oct. 11, when U.S. Trade Representative Rob Portman outlined what he called a bold plan on agriculture to jumpstart the WTO talks.

In his statement issued from the trade talks in Zurich, Portman said, "Our ambitious initiative demonstrates a seriousness of purpose. The United States is committed to breaking the deadlock in multilateral talks on agriculture. The U.S. proposal is offered in earnest. We are ready to make meaningful changes to American farm programs provided our trading partners deliver tangible market access for U.S. agricultural exports and our offer is also met by substantial reductions in trade-distorting measures, with deeper cuts by the biggest subsidizers."

The U.S. proposal ensures substantial reductions of trade-distorting support measures and tariffs, along with the elimination of export subsidies. In a first stage, WTO members would phase-in deep cuts in trade-distorting support and tariffs, thereby creating effective new market access opportunities and reforms of subsidy policies. After a period of consolidation, an additional phase-out period would deliver on the elimination of remaining trade-distorting practices in agriculture.

Following the Portman statement, AFBF issued this response:

"The American Farm Bureau Federation believes bold action is needed to provide commercially meaningful access to world markets for America’s farmers and ranchers. The agricultural trade proposals put forth today by the United States will significantly advance that position within the WTO agriculture negotiations. We call on U.S. Trade Ambassador Portman and Agriculture Secretary Johanns to continue their strong advocacy to secure enhanced market access for U.S. farm products that would be worthy of further reform in the area of U.S. domestic supports.

"The administration’s proposal to address these areas of trade policy also will help us frame the discussion regarding the next U.S. farm bill. Changes in domestic support programs resulting from an agreement will result in significant short-term economic challenges for some commodities and specific farm types. We firmly believe, however, that in the long term, U.S. agriculture will overcome any challenge through the expanded opportunity for exports created by specific and measurable improvements in market access.

"It must be emphasized that real trade reform must include substantial, ambitious and quantifiable expansion in access to markets. We will do our share on domestic support but developed and developing countries must do their part in reforming and expanding market access opportunities. While the proposal does not address developing countries, we expect them to be ambitious in expanding market access."