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5/3/04
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1. WTO Rules Against U.S.
on Cotton Subsidies
2. New Climate Report Assesses Costs of Global
Warming
3. Definition of Family Farm Proposed
4. Cooperation Needed To Prevent Extinction
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1. WTO RULES AGAINST
U.S. ON COTTON SUBSIDIES
Last Tuesday, the World Trade
Organization (WTO) ruled in favor of a Brazilian complaint
stating the US cotton subsidies distorted world prices, violated
trade rules and gutted cotton prices in developing countries.
By Friday, Brazil's president Lula was saying that with this
victory the world's biggest countries would unite against EU and
U.S. farm subsidies. Lula specifically included China,
Russia and India, saying this alliance was a “formidable
force.” '
US Trade representatives have
countered the decision saying that US policies are consistent
with WTO rules and that the US would “appeal” the decision.
During the process Brazil argued that the ability of U.S.
farmers to sell cotton below cost of production meant Brazilian
farmers lost $600 million in sales in 2001 alone.
During the same season, the U.S.
gave out $4 billion in cotton payments for a crop valued at only
$3 billion. According to aid group Oxfam International
U.S. subsidies also raise poverty, unemployment and debt in
cotton-dependent West African nations like Benin, Mali and Togo.
Read
more.
2. NEW CLIMATE REPORT
ASSESSES COSTS OF GLOBAL WARMING
The Pew Center on Global Climate
Change last week issued two new reports, titled "A
Synthesis of Potential Climate Change Impacts on the U.S."
and "U.S. Market
Consequences of Global Climate Change." The studies
find that natural ecosystems, particularly those that are slow
to adapt, such as coral reefs and alpine ecosystems, are at
greater risk than managed systems such as agriculture.
The reports found that moderate
climate change (2 to 4 degrees C) would likely produce small
changes in the nation's Gross Domestic Product, ranging from a
3% loss to a 1% gain, though individual sectors could see more
pronounced effects. However, "a critical finding in
these reports is that as climate change continues past critical
thresholds, any benefits diminish and, ultimately, reverse as
the U.S. economy struggles to adapt to the changing
climate."
According to Pew Climate Center
president Eileen Claussen, "Taken together, these reports
build the case that when it comes to climate change, policy
inaction is costly to certain sectors and regions of our
economy, and costly to our environment.
3. DEFINITION OF FAMILY
FARM PROPOSED
In a move that is upsetting many
farm groups, the Farm Service Agency is proposing a limit to
loan eligibility based on a new definition of the "family
farm." The proposed change would define family farms based
on gross income.
Any farm that generates more than
$750,000 in a typical year, or falls within the top 5% of income
within the state, would no longer qualify. Producers argue
that a limit based on gross income does not consider any
overhead costs and certain types of producers, like dairy
farmers who have a large infrastructure to maintain, are at a
disadvantage.
Eighteen farm organizations sent
a letter to the USDA last week opposing the proposal saying the
definition did not add any clarity to the definition of a family
farm and could preclude needy farmers from accessing capital.
The groups said they were also concerned this definition could
serve as a precedent for future income caps on other USDA
programs. Learn
more.
4. COOPERATION NEEDED TO
PREVENT EXTINCTION
Europe may soon see the first
extinction since prehistoric times of one of its big cat
species, the Iberian lynx. In the past forty years, populations
of the lynx, which once ranged throughout Portugal, Spain and
southern France, have "slumped from thousands to an
estimated 135, of which just 28 are breeding females,"
according to a report presented to the European parliament last
week.
The lynx's decline has been
attributed to disease in rabbits, the cats' main prey. In
addition, "lack of hunting controls and damaging
developments in lynx breeding areas have contributed to the
rapid decline, the report says."
Caroline Lucas, vice-chairman of
the group which ordered the report, said: "There need to be
radical changes in the funding and control of water, transport,
agriculture and forestry projects to save both the lynx and the
EU's reputation." The author of the report added that
"conservation efforts needed to be connected to other
policy areas like agriculture and road building." Read
the complete story.
Cultivating a vision where rural and urban communities join together
to ensure abundant family farms, healthy critters, clean water and a wild Earth.
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Rural Updates!
Scotty Johnson and Aimee Delach
National Rural Community Outreach Campaign
sjohnson@defenders.org
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