Oilseeds Dispute Redux EU officials agreed to technical changes to the Common Agricultural Policy that, at least on the surface, appear to create more problems than solutions. One envisions developing a European plant protein strategy with the goal of boosting internal oilseed production as import substitution. A similar policy goal led to two adverse GATT dispute settlement rulings against Europe in the late 1980s and early 1990s. There will also be an increased effort at allowing producer groups to control production and manage price negotiations with buyers. This will likely result in better returns in the short run, but supply limitation and artificially high prices will ultimately be undermined by global arbitrageurs. PSH Live Test...

TAGS – China, Europe, North America