MEMPHIS -- The National Cotton Council today expressed appreciation for the efforts of the Administration to conclude a framework agreement with Brazil in the WTO dispute involving the export credit guarantee programs and certain provisions of the cotton program.
"The framework agreement between the U.S. and Brazil reflects a significant effort by the Administration to forestall the imposition of damaging retaliatory trade action by Brazil while preserving the normal policy process in the United States,” stated Eddie Smith, chairman of the National Cotton Council. “It was a difficult agreement to negotiate, and we commend the Administration for its determination to find common ground with Brazil."
"It is not our intent to distort world cotton prices,” Smith said, “and, in fact, our program is not suppressing world prices. We will work with Congress and the Administration on the 2012 farm bill in order to develop cotton policy that will continue to provide the safety net needed by U.S. farmers while helping assure our trading partners that U.S. cotton programs do not cause unfair trade distortions in the world cotton market."