GENEVA, Sept 8: The World Trade Organization confirmed two separate rulings on Wednesday outlawing farm subsidies paid by the United States to cotton farmers and by the European Union to its sugar producers.

Non-governmental organizations (NGOs) welcomed the announcements as a victory for developing countries, which have long blamed subsidies for pricing their poor farmers' produce out of world markets.

"These rulings are a triumph for developing countries and a warning bell for rich countries who consistently flout the rules at the WTO and whose unfair systems are creating misery and poverty for millions," said Phil Bloomer of Oxfam International.

The conservation group WWF estimated that subsidies depressed world sugar prices by 17 per cent and handicapped environmental standards. -AFP