Nowadays, the expanding trade in agricultural goods is set against a background of increasing demand for livestock products, grain fodder and oil seeds, while at the same time, within the developed countries, the structure of agricultural trade is such that higher value added processed products are becoming more and more significant. Moreover, the East Asian market i.e. Japan, Korea etc. is now, on a world level, emerging as a market for agricultural products in which America, Oceania and the EU will battle for an increasing share of this export market. It is believed that the GATT Uruguay Round Agricultural Agreement particularly the reduction in the export subsidies and the guaranteed import access will have a big impact on the EU. Within the EU, it is expected that by the end of the century the problem of surpluses in the beef, grain, and dairy products sectors will re-emerge. On the other hand, both the American and Oceanian governments are anticipating an increase in the export of agricultural products in each of their respective countries. With regard to dairy products, America and Canada are helping the promotion exports through the use of a levy which is imposed on producers for excess production. In the EU as a result of the reduction of export subsidies and the integration of EC countries into an EU single market, Denmark, who is particularly dependent on exports outside the EU has proposed a Two-ties qaota system. Finally with regard to competition in the internal EU market, the activities of the Agricultural Cooperatives, who are expanding marketing and direct investment and who now rank alongside the huge Dairy Multinationals like Nestle and Unilever are slso worthy of attention.
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