WTO favors US, New Zealand in Indonesia ag trade fight

The World Trade Organization (WTO) has ruled in favor of the United States and New Zealand in the two countries’ dispute with Indonesia concerning trade restrictions on agricultural products from the U.S. and New Zealand.

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Jason Morrison, Freeimages.com
Jason Morrison, Freeimages.com

The World Trade Organization (WTO) has ruled in favor of the United States and New Zealand in the two countries’ dispute with Indonesia concerning trade restrictions on agricultural products from the U.S. and New Zealand.

The WTO on December 22 revealed its findings in the dispute. Indonesia has 60 days to either accept the ruling or appeal it.

According to a report from USDA Radio News, WTO ruled in favor of all 18 of the complaints the U.S. issued against Indonesia, revealing that the restrictions were inconsistent with WTO fair trade rules. The restrictions involved U.S. and New Zealand exports of poultry, beef, potatoes and apples, among other agricultural commodities.

The United States in May 2015 requested a WTO dispute resolution panel, to hear challenges to those trade restrictions.

Responding to the news of the WTO ruling, American Farm Bureau Federation President Vincent “Zippy” Duvall issued the following statement: “The American Farm Bureau Federation applauds U.S. Trade Representative Michael Froman and the Obama administration on their victory at the World Trade Organization in defending farmers and ranchers from unfair trade restrictions in Indonesia.

“America’s farmers and ranchers depend on our nation’s leaders to hold our trading partners accountable, and Farm Bureau is grateful for the administration’s work to defend U.S. agriculture’s interests abroad. Enforcement of trade agreements is crucial to maintaining market access. Thanks to this victory, American farmers and ranchers will have the freedom to reach customers in one of the world’s most populous countries.”

Rep. Kurt Schrader, D-Oregon, is among the officials in Washington to hail the ruling, adding it could have an impact on future trade deals.

“It is so important to enforce these agreements and have stronger enforcement opportunities in new agreements coming forward,” Schrader said.

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