Agencia Efe | February 26, 2002
Brasilia - Brazil announced Tuesday that it would file complaints against the European Union and the United States before the World Trade Organization (WTO) for unfairly subsidizing their farmers.
Agriculture Minister Marcus Vinicius Pratini de Moraes announced the decision at a news conference on the prospects for the upcoming harvest.
The minister said Brazil would bring a complaint against the United Sates for its subsidies to producers of soy and cotton, two of Brazil's most important agricultural exports.
Pratini de Moraes said the suit against the EU would challenge European sugar subsidies. Brazil is a major sugar exporter.
The minister expressed special concern over U.S. soy subsidies, which are causing Brazilian producers to lose markets.
"The United States currently gives its soy farmers a subsidy equivalent to 20-to-25 percent of the value of the crop, which hampers free competition in the international market," the minister said.
Pratini de Moraes's statements came two days after Brazil announced its decision to bring the United States before a WTO panel if Washington imposes protectionist measures to reduce steel imports.
"If these protectionist measures hamper Brazilian exports, then the government will exercise its right to take the case to the WTO," said the Foreign Ministry's top trade official, Jose Graca Lima.
According to analysts, U.S. restrictions could include higher tariffs as well as limits on imports of steel. The new measures are expected to be announced this week by the White House.
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