Politics Agricultural policy
White House goes to war against Farm to Fork
The 'Farm to Fork' strategy is causing quite a stir and not only within the European Union. At a global level, a dichotomy is beginning to emerge between the EU's approach to agricultural policy and the US's almost opposite approach.
The goal that is being pursued is the same on both continents, namely to reduce greenhouse gas emissions in agriculture in order to be climate neutral by 2050. Only as a way there are two completely different routes mapped out.
Both parties are critical of the consequences of each other's agricultural strategy. Especially the effect on international trade is a point of contention. The US is already trying to recruit international supporters for its approach. The EU seems less concerned with this, but the elaboration of its strategy is likely to have consequences for other countries. Does this mean that the struggle for directions in agricultural policy will become the terrain of a new cold war between the two agrarian superpowers?
Where are the differences?
The EU is opting to reduce inputs, for example by significantly reducing the use of plant protection products and fertilizers and by converting a quarter of agriculture to organic. While several studies have expressed serious doubts about the real environmental benefits, the likelihood of lower production and the risk of the EU becoming dependent on food imports, the European Parliament adopted the Farm to Fork strategy by a large majority last week.
The US has opted to increase production per hectare even further, among other things by giving free rein to new technologies such as genetic modification and precision agriculture. "I don't believe that you have to sacrifice production for sustainability or that sustainability comes at the expense of productivity," said Tom Vilsack, US Secretary of Agriculture, at the World Food Prize symposium last week. "You can do both."
Problems in international trade
Both strategies have their pros and cons, but can work in principle. However, it becomes a problem when countries with one system trade with countries that follow the other system. The European agricultural sector fears that it will be wiped out by foreign producers due to higher production costs. But the Americans are also very concerned about the consequences of the Farm to Fork strategy on their agricultural sector. The problem for the Americans is not just that they are not afraid to compete with European farmers, but that they are losing access to certain markets. And that fear may be more real than many Europeans think.
Dominance
Although there is much criticism, justified or not, of the functioning of the EU, friends and foes agree that the EU is a strong trading bloc on the world stage. The 27 Member States together have a population of approximately 450 million, making it the world's largest population after China and India. The US follows at some distance and has 330 million inhabitants. Europe is also reasonably prosperous, especially if you compare it with the average Chinese or Indian.
The requirements set in Europe are still leading for the exporting countries to gain or keep access to the large internal market of the EU. It has been shown before that foreign parties are willing to pay a lot for this. Consider, for example, the American tech companies (such as Youtube, Facebook and Microsoft) that no longer follow the American privacy rules in 2018, but en masse adopted the strict European privacy legislation to keep access to European consumers.
The U.S. Department of Agriculture fears that something similar is about to happen in the field of agriculture. That the EU will set sustainability requirements for agricultural goods according to its own yardstick and that products that do not meet these standards will be denied access to the European market. According to the US, countries that want to export to the EU are more or less forced to implement European standards. "We are concerned that barriers are being created in existing trade relationships that are not scientifically substantiated and constitute barriers to an open trade culture," Vilsack said on several occasions.
Alternative shapes
In mid-September, the American minister therefore presented the 'productivity coalition', as a counterpart to the Farm to Fork strategy. The Americans focus on technological development and few barriers to trade. Vilsack sees a pioneering role for the US in this with large-scale projects where the latest technologies in the field of climate-friendly and/or environmentally aware farming are applied. Various sources report that about fifty countries have now joined the productivity coalition.
The US neighbors Canada and Mexico have also been invited to join the coalition, Vilsack emphasized at the World Food Prize symposium. The ministers of agriculture of Canada and Mexico were also present at the meeting. However, during their speaking time at the symposium, both ministers kept quiet about Vilsack's invitation. According to various political interpreters, that says a lot about the power of the EU. Although countries may not agree with the EU's path, several countries are cautious about taking a stance. Access to the lucrative European market can be decisive.
Jurphaas Lugtenburg
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