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'Rebalancing' will be of little help to the cereal producer

'Rebalancing' will be of little help to the cereal producer

DLG Mitteilungen 105(20): 34-35

The EC is proposing to GATT that they should be allowed to close a gap in their import controls by a tariff on cereal substitutes. It is suggested that this 'rebalancing' will not resolve the price crisis in the cereals sector. Given the grain surpluses in both the EC and USA, and stagnant world demand due to shortage of foreign exchange, the downward pressure on cereals prices seems likely to continue.

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