The U.S. has an obligation under the World Trade Organization to turn in detailed information about our domestic support payments under the different classifications of the WTO. Different support payments are considered either green box, which are allowed under WTO rules or amber box, which are considered trade distorting.
The U.S.'s Agricultural Negotiator to the WTO, Joe Glauber says the report shows the amber box domestic support level from 2002 to 2005 remained below our Uruguay Round commitment of $19.1 billion.
However; in five of the past eight years the U.S.'s overall trade distorting support levels would have exceeded the upper range that is mentioned in the Falconer text being considered in current negotiations.
"That's one reason we believe that even the upper end of the range provides an effective cut in domestic support," Glauber says.
Since the Falconer text was released in July, Glauber says negotiators have met to discuss the three pillars in agriculture: domestic support, export competition and market access. He says in the next few weeks the Chair of the Negotiating Committee hopes to flesh out additional aspects of the agreement.