Deputy Director-General of the WTO Alan Wolff has urged countries to keep all markets open to allow a constant supply of food across borders.
He made this remark whilst addressing agriculture ministers at the Global Forum for Food and Agriculture in Berlin on 22nd January 2021. He highlighted the resilience of agricultural production and trade in the face of the COVID-19 crisis.
“First, keep markets open. This is essential, not only for food products but also for other goods and services. Food should always be able to travel across borders. One in every 6 people in the world depends almost entirely on international trade to be fed. That is 17% of humanity or 1.3 billion people. Over 30 countries rely on imported food to avoid starvation.
“This reliance on international trade for food security is likely to grow. Imposing trade restrictions could have severe negative ramifications. Sustainable agricultural production cannot take place without keeping trade flowing for many other goods and services, such as fertilizers, tractors, drones, and sophisticated climate-smart equipment”.
DDG Wolff indicated that the pandemic has underlined the need for policymakers to adhere to some key principles, including open markets, and transparency.
Moreover, agriculture ministers must “work closely with their trade counterparts to advance the WTO negotiations” to create a level playing field that will help the agricultural sector to meet current and future challenges effectively and sustainably.
“2020 was a difficult year. It added an unprecedented health crisis, with consequent supply and demand complications, to the list of challenges faced by agricultural producers, including extreme weather patterns, pests and diseases, geopolitical tensions, and an increasing global population that needs to be adequately fed”.
DDG Wolff stated that the COVID-19 pandemic has, however, highlighted the extraordinary resilience of agricultural production and trade.
He urged countries to “invest wisely”. He added that scarce fiscal resources should be invested in innovation and sustainability to “build back better”.
Agricultural markets have shown remarkable resilience, but markets work even better with good quality, timely information including concerning policy measures adopted by governments around the globe. Initiatives such as the Agriculture Market Information System (AMIS) are crucial for well-informed policy responses.
DDG Wolff further stated that the WTO Members will need to continuously update agricultural trade rules to meet current and future challenges and enhance the predictability of the global food supply. He noted that these efforts must substantially reduce trade-distorting support; improve disciplines on export restrictions; enhance market access opportunities, and further improve export competition rules.
Also, he advised WTO Members to focus on trade and sustainability and also make global digital commerce the norm. according to him, there is the need to advance the discussions on e-commerce to a successful conclusion that would help farmers to benefit more fully from the global digital economy.
“Agriculture Ministers can make a major difference in shaping the world trading system. They can and must work closely with their trade counterparts to advance the WTO negotiations to create a sustainable level playing field that would provide opportunities to all farmers and strengthen the ability of the agricultural sector to meet current and future challenges. 2021 must be a year of renewal for the world economy and for the trading system that is essential to the well-being of all peoples”.
