Senators Suggest Australian Hypocrisy in Ag Trade

December 2, 1999

Sens. Larry Craig (R-ID) and John Breaux (D-LA) say Australia has a right to criticize U.S. programs and policies, but considering Australia's own policies on imports and its state trading enterprises and subsidies, "a credibility factor has arisen that should be addressed."

In a letter to U.S. Trade Representative Charlene Barshefsky, the senators said they were "astounded" to learn of Australia's import bans, monopolistic state trading practices and commodity-specific subsidies, "particularly in view of Australia's strident and constant calls for trade liberalization." Australia has called for the unilateral elimination of U.S. sugar policy, says the American Sugar Alliance.

Australia prohibits the import of numerous U.S. agricultural products, say the senators, while maintaining 15 state trading enterprises for agricultural products. Australia also expends "significant support to its sugar industry through sugar-specific subsidies on transportation, irrigation and credit."

Craig and Breaux said Australia "has a right to criticize U.S. programs and policies. However, in view of Australia's own policies...a credibility factor has arisen that should be addressed. We believe it is time to let Australia know that trade is a two-way street and that a credibility factor has arisen that should be addressed."