Govt: Agricultural diversification critical

ABU DHABI: THE government has said the diversification of production and value addition coupled with measures to increase productivity in traditional staple foods is critical in response to the ongoing food crisis.

The Permanent Secretary in the Ministry of Industry and Trade Dr Hashil Abdallah said during the 13th Ministerial Conference in Abu Dhabi, United Arab Emirates recently that the agro-related strategic and targeted measures to increase productivity in the sector are critical for developing countries.

“This should be done to increase economic resilience and enhance the productive capacities needed to create jobs, generate sustainable livelihoods, contribute to food security, increase incomes and improve quality of life,” he said.

Ministers from across the world met at the conference to review the functioning of the multilateral trading system and to take action on the future work of the World Trade Organisation (WTO).

“We need to enhance cooperation and work on building productive capacities aiming at strengthening the domestic and regional food and agricultural value chains of developing member states particularly the LDCs.”

Moreover, he said the Ministerial Conference outcome on agriculture must build on decisions taken at the previous meeting prioritising food security.

Subsequently, the WTO interventions and collaboration with relevant international organisations and external partners should be holistic by addressing the needs along the supply chain.

He said this will include new technologies related to the production of basic foodstuffs, processing, storage and marketing of agricultural commodities which in turn will positively affect the productivity, competitiveness livelihoods of farmers and rural communities in developing countries and LDCs.

On public stockholding, Dr Abdallah said it is recommended to find a mutual acceptable permanent solution for food security purposes, taking into consideration of food security as an important aspect in economic and social welfare while preventing market distortions and ensuring appropriate transparent mechanisms.

“On Special Safeguard Mechanism (SSM), we may recall that most developing countries and LDCs are not entitled to Special Safeguard (SSG) as enshrined in the WTO Agreement on Agriculture.

Even those few Developing Members with SSG entitlements have found it onerous to use this policy instrument” he said.

He said therefore a simplified SSM rebut for members to address the surge of imports of agricultural products, suppressing domestic prices and production.

Developing countries should be allowed to temporarily increase tariffs beyond their bound rates when addressing vulnerabilities caused by surges of agricultural imports suppressing domestic prices.

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