Food Industry
Industry: Email Alert RSS FeedPolicy reform would boost dairy prices, says OECD.(Markets)
Agra Europe, September, 2005
World market prices for dairy products could rise by up to 57% if market price support policies were abandoned world-wide, according to a new OECD study presented at last week's IDF World Dairy Summit in Vancouver.
But the negative knock-on effect on milk producer prices would be mitigated if all countries currently providing market price support (MPS) to their farmers abandoned their policies in concert, rather than taking unilateral action, the study found.
"The results underline the value of current multilateral trade negotiations that seek broader consensus on the need for and benefits of reform," the study notes, with an obvious nod to the current WTO Doha Round talks.
The study, presented by OECD economist Pavel Vavra, was based on a...
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