990550 Taiwan Makes WTO Concessions On Farm Imports

Taipei - Taiwan said it agreed to widen imports of some meat-related farm products from July -- six months ahead of schedule in a market-opening concession linked to its World Trade Organization accession bid.

Council of Agriculture officials said Taiwan negotiators agreed during WTO- related negotiations in Geneva in the past few days to adopt a global quota system allowing its debut imports of pork bellies, chicken meat and pork and beef offal.

“We had planned to open such imports in the first year after our entry to the WTO, but now we are advancing the opening to July 1, or half a year ahead of schedule,” Chen Bao-ji, head of the cabinet council's animal industry department, said.

Taiwan already had agreed in bilateral negotiations with the United States to open its markets to some U.S. meat exports, but under the concession, farm imports from countries will be allowed as well.

Taiwan had agreed to import of 5,000 tonnes of pork bellies, 10,000 tonnes of chicken meat and 12,500 tonnes of pork and beef offal from the United States in the first year, with shipments beginning in July.

The fresh concessions would allow import of 1,160 tonnes of pork bellies, 9,163 tonnes of chicken meat and 7,500 tonnes of offal, Chen said.

“We will closely monitor the impact and come up with necessary subsidies afterwards,” Chen said.

The farm council estimated the new meat imports would cost Taiwan farmers about T$30 billion in industry losses. Because of high costs in land-scarce Taiwan, local livestock farmers are less efficient than major international exporters.

An official at the Board of Foreign Trade said the overall impact of the new imports on Taiwan should be limited, as the island's farm sector has been bracing for the long-expected farm liberalisation.

“Since we already agreed to imports from the United States, the additional opening should not bring severe impact,” said a board official, who declined to be identified.

The farm council's Chen said Taiwan has begun to reduce production of less- competitive farm industries to minimise farmers' losses after Taiwan joins the world trade body.

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