Pasta in Global Commerce Policy

In this regard, pasta is: launched by the United States against the European Economic Community (EEC) in 1982 on the grounds that EEC export subsidies on pasta products (macaroni, spaghetti and similar products) manufactured from durum wheat were inconsistent with Article 9 of the Tokyo Round Subsidies Code. This article states that signatories shall not grant export subsidies on products other than certain primary products. The EEC argued that pasta products were a type of primary product. The facts were that the EEC operated a common system for the internal market in cereals and cereal-based products. The entries on trade policy are here. It provided for a single system of internal prices for the whole Community and a common trading system with third countries which prevented price fluctuations of the world market from affecting internal cereal prices. The system also provided for export licensing and for application of export refunds in a prescribed manner. The entries on trade policy are here. Export refunds could be granted to cover the difference between the internal prices and those on third markets for cereals exported in natural state or in the form of specified goods. Pasta products were included in this list of specified goods. The funding of the export refund on durum wheat in the form of pasta was made by a public contribution from the EEC budget which also paid the export refunds on cereals. The entries on trade policy are here. In its findings and conclusions, the panel was of the opinion that pasta was not a primary product, but a processed agricultural product. The entries on trade policy are here. It also concluded that the EEC system of granting refunds had to be considered a form of subsidy in the sense of GATT Article XVI (Subsidies). The panel held that the terms of Article XVI, as interpreted in Articles 9 and 10 of the Subsidies Code, excluded the possibility of considering the export of a processed product on the same terms as the export of its constituent components. The entries on trade policy are here. Accordingly, it concluded that the EEC export refunds were granted on the exports of pasta products and operated to increase these exports and that the EEC subsidies on exports of pasta products were granted in a manner inconsistent with Article 9 of the Subsidies Code.[1]

Pastain the wold Encyclopedia

For an introductory overview on international trade policy, see this entry.


Notes and References

  1. Dictionary of Trade Policy, “Pasta” entry (OAS)

See Also

Hierarchical Display of Pasta

Agri-Foodstuffs > Foodstuff > Processed food product > Cereal product

Meaning of Pasta

Overview and more information about Pasta

For a more comprehensive understanding of Pasta, see in the general part of the online platform.[rtbs name=”xxx-xxx”]


Translation of Pasta

Thesaurus of Pasta

Agri-Foodstuffs > Foodstuff > Processed food product > Cereal product > Pasta

See also





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