July 27, 2002	Saturday	Jamadi-ul-Awwal 16,1423

NARA (Japan), July 26: Japan on Friday said it was “not realistic” for the United States to expect the World Trade Organization to agree to its controversial plan to slash global farm subsidies.

The American plan has been given a chilly reception by delegates from the world’s major agricultural nations, who are holding a two-day meeting here and who say it contradicts US domestic policy.

“I believe it is not realistic to reach a consensus (on the US proposals) from WTO member nations,” Japanese Farm Minister Tsutomu Takebe was quoted by a Japanese official as telling US Agriculture Secretary Ann Veneman.

The United States on Thursday unveiled its proposal to be submitted to the WTO next week. The plan limits so-called trade-distorting farming subsidies to five per cent of the value of agricultural production.

The United States said the plan would cut global subsidies by 100 billion dollars.

But critics said the move flies in the face of its new domestic farm bill, which will distribute 180 billion dollars to American farmers over 10 years.

Veneman said the US proposals are “bold,” but Takebe told her Japan sees them as “too bold”, arguing few countries could agree with Washington on the new plan, the Japanese official said.

“We must work on to create WTO rules that are flexible and reflect the needs of various farm nations,” the Japanese minister said.

“While many farm nations are taking agricultural reforms, the United States is taking measures to strengthen its own protection,” Takebe added, according to the official.

“Japan and many countries are concerned about US protectionism,” he told Veneman.

The two delegates met on the sidelines of the two-day fifth Quint Agricultural Ministerial Meeting in Nara, Japan’s ancient capital, 400 kilometers (250 miles) west of Tokyo.

WTO agriculture talks began in January 2000 and numerical targets for subsidy and tariff reductions are due to be solidified in time for the next WTO ministers’ meeting, in Mexico in September 2003, with proposals due by March.—AFP