A new vision for agriculture
momagri, movement for a world agricultural organization, is a think tank chaired by Christian Pèes.
It brings together, managers from the agricultural world and important people from external perspectives,
such as health, development, strategy and defense. Its objective is to promote regulation
of agricultural markets by creating new evaluation tools, such as economic models and indicators,
and by drawing up proposals for an agricultural and international food policy.
A look at the news

Transatlantic Partnership: negotiations resume...
for the worse?

February 9, 2015


Negotiations on the Transatlantic Partnership resumed between Washington and Brussels. The 8th round of negotiations was held from 2 - 6 February, the first since the inauguration of the new European Trade Commissioner, Cecilia Malsmtröm. As with the prospects of the European dairy sector, the Commission continues to see a real opportunity for Europe.

However, the proliferation of bilateral free trade agreements denotes not only the WTO’s difficulty in imposing itself as an international body but questions its real impact on strategic sectors such as agriculture. The TTIP (or TAFTA) trade partnership between the European Union and the United States, greatly affects us and the future of European agriculture. The movement to condemn the potential dangers is getting stronger and there are successive critical evaluations of the studies outlining the advantages and the future economic benefits of the TTIP. Tens of thousands of people gathered in Berlin during Green Week to condemn the Agreement. The agricultural sector is also mobilized and the meat and livestock inter-professional association (Interbev) recently announced that the influx of North American meat would, for French breeders, represent a decline in revenues to the order of 40 to 50%, while “a real gap in competitiveness between the French and American beef exists”.

Thus two questions await answers: what are the real economic effects to be expected from the TTIP? Is the TTIP a real opportunity for world economic growth, as its admirers portray it to be?

A new report by the American Global Development and Environment Institute (GDAE) takes a critical view of the various impact studies of the Transatlantic Partnership currently under discussion between the EU and the United States1. For, though according to the European Commission, the TTIP’s potential economic stimulus would be 120 billion euros for the European economy, 90 billion euros for the US economy and 100 billion euros for the rest of the world, the estimated gains are ultimately minimal and the risks real.

In this context, the Institute points out that the simulation model used by many organizations praising the virtues of the TTIP is based on simplifying assumptions, far removed from reality. The GDAE, based on the “Global Policy Model”, asserts that the future agreement would result in net losses in terms of exports, GDP and lower wages, and ultimately accelerate the economic disintegration of the European Union.

Enhancing trade relations is obviously priority for European growth, but not at any price and in particular, not by overlooking one of the most strategic sectors, namely agriculture and food. This GDAE report is yet another demonstration. Consequently, the inclusion of European agriculture which is already exposed to market volatility and political choices that are disconnected from economic reality, into free trade agreements will significantly weaken the position of European farmers. This prospect should encourage Brussels to urgently redirect the CAP to prevent the situation from escalating.

1 GDAE’s report is available from
http://ase.tufts.edu/gdae/policy_research/TTIP_simulations.html



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Paris, 15 December 2018