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Dept for International Development

Answer

Tony Cunningham: To ask the Secretary of State for International Development whether the Department is funding research into alternative uses for sugar, with particular reference to developing countries, in the light of Common Agricultural Policy reform of the sugar protocol. [186325] Mr. Gareth Thomas: DFID has always stressed the need to take account of the impact that reform of the EU sugar regime will have on our developing country preferential suppliers. DFID is conscious that substantial reform will give rise to transitional problems for the African, Caribbean and Pacific countries (ACP)s that currently benefit from preferential access to the EU market at existing price levels and for the Least Developed Countries (LDC)s seeking to develop an export trade to Europe under the EBA initiative. In order to help inform the debate and ensure the impact on developing countries is taken sufficiently into consideration, DFID commissioned a study last year with LMC International and Oxford Policy Management, `Addressing the Impact of Preference Erosion in Sugar on Developing Countries'. The study is divided into two sections. The first part assesses the economic and social impact on the ACP Sugar Protocol countries of the various reform scenarios suggested by the European Commission. The latter part of the study assesses alternative options for addressing the impact of preference erosion in sugar. The purpose of this analysis was to identify various options for debate by the ACP and the EU. DFID has recently commissioned two further pieces of work on this issue. The first report has been commissioned with LMC International, `EU Sugar Reform: the Implications for the Development of LDCs and should be finalised early next month. The second report has been commissioned from the Overseas Development Institute, `Forthcoming changes in EU sugar/banana markets: a menu of options for an effective EU transitional assistance package' and should also be finalised next month. This report should help those countries affected by reform determine their priorities for a transitional package. This report will include some analysis of alternative uses for sugar.

Secondary information

Type

Written question

Reference

424 c947-8W; 186325

Session

2003-04

Subjects

Developing countries Research Sugar Common sugar regime

Link

View this Written question on www.publications.parliament.uk