Example of unfair trade between the EU and Africa

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EED/ICCO Project on Agro Exports
Dont send chicken!
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AVOID, PREVENT AND DISCARD DUMPING OF (MEAT)
REJECTS ON DEVELOPING COUNTRIES VULNERABLE
MARKETS

• The case of EU-chicken dumping in West and
  Central Africa

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Exports of Poultrymeat from EU to subsaharan
Africa from 1996 -2004
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(No Transcript)
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Defensive trade rules to stop dumping practice

• Developing countries have the right and
  obligation to apply
• effective defensive trade measures against
  import surges and dumping
• - e.g. Poultry among others need to become
  a Special Product and should be eligible to the
  exceptions for Sensitive Products and for a
  Special Safeguard Mechanism under the terms
  proposed by the G33 in the Doha Round of the WTO
• Developed Countries have to respect this right of
  Developing Countries and need to support
  Developing Countries in their endeavours to
  implement this right and to protect it from
  business practices that are undermining it.

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3. Exporting countries are responsible to set up
a monitoring mechanism that effectively
identifies and stops dumping practices to
Developing Countries for any such Special
Product as declared by the respective importing
Developing Country 4. The international trade
regime has to introduce a simple complaint
mechanism for dumping cases that cause damage to
the livelihoods of poor people. Civil society
organisations, such as producers associations
are entitled to use this mechanism. The accused
country is responsible to launch an investigation
of the notified case and to discontinue any
unfair trade practice.
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What has Government of Cameroon doneafter Civil
Society Campaign to protect own farmers?

• 1. Measure
• Fix the import price to 1000 CFA 1,60
• From that 20 tariff and 20 TVA
• and 5 sanitary tax 2,30
  
• Now price of frozen chicken is 2,70
• 2. Measure
• Government reduced the import quotas to zero,
  only in times of high demand or high prices
  import allowances are given under the described
  condition

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Why and how importations of poultry meat stopped
in Cameroon

• Import price was around 0,70 per kg
• Import tariff for meat for the Centralafrican
  Region 20
• Price for wholesaler for 1 kg frozen poultrymeat
  parts
• 0,84
• Poultry meat from EU
• sold on markets for 1,90
  p./kg
• Local poultry (living birds) for 2,50
  p/kg

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Imports of poultry meat in Cameroon 1996 t0 2006
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Design new rules for new products 5.With the
increased relevance of food quality standards and
the selective consumption patterns of well-off
consumers specific international trade rules for
by-products and rejected products below a high
quality standard become necessary in order to
avoid unfair global competition of second choice
products with supply produced by poor
peoples.Mutual accountability on safe
handling of food in global trade 6.
Responsibility of exporting countries for safe
handling of food must not end at harbour of
origin but be followed through from farm to
fork.
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EED/ICCO Project on Agro Exports
Dont send chicken!