News Releases

No. 22/08
March 13, 2008

STATEMENT ON DAIRY IMPORT ASSESSMENT EXPANSION AND THE FARM BILL BY EU AMBASSADOR JOHN BRUTON

Ambassador John Bruton, Head of the European Commission Delegation to the United States, issued the following statement today regarding the proposed expansion of the US Dairy Promotion and Research Assessment to imported dairy products in the Farm Bill, currently pending before Congress.

Under the program, the United States Department of Agriculture imposes an assessment to fund domestic dairy promotion, such as the well-known "Got Milk" marketing campaign.

"It is simply not fair to tax European producers to fund a program that boosts domestic consumption in the US. Of course, we've 'Got Milk' in Europe, but it's not feasible to trade it across the Atlantic. And we've got cheese, too – some of the best in the world – but US imports are limited through quotas, so that any expansion of the American market won't benefit European producers.

"As it stands now, imposing the assessment would be a clear violation of World Trade Organization rules on equal treatment of agricultural products because states and territories outside the continental US are exempted. Even if those areas were brought into the program, a new fee on imports would still be discriminatory because the programs funded benefit only American producers.

"Since its inception in 1983, the 'checkoff program' has always been intended to support the marketing of American milk and dairy products. The US cannot just turn around now and ask European and other non-American dairy producers to support America's domestic industry when there is very limited access to the US domestic market or, as with milk, effectively no access at all.

"I hope the Farm Bill negotiators in Congress follow the lead of the Senate and take care of this matter in the coming months."

Further Contact Information:
Press and Public Diplomacy
Delegation of the European Commission
2300 M Street, NW
Washington, DC 20037
http://www.eurunion.org/PressRoom
Tel: 202-862-9552
Fax: 202-429-1766