Position Paper 12

IPC Position Paper Number 12

Liberalizing Trade in Processed Foods

Thanks to increased consumer purchasing power and improved living standards in many countries, trade in processed foods has increased to 75 percent of global agricultural trade.

The food and beverage industry is increasingly subject to the forces of globalization. Thanks to increased consumer purchasing power and improved living standards in may countries, trade in processed food products has increased to 75 percent of global agricultural trade.

This paper considers the state of today’s processed foods sector, and the problems that arise in efforts to liberalize trade in these goods. The paper reviews the trade-related questions of product aggregation; technical barriers; sanitary and phyto-sanitary measures; intellectual property; and investment measures.

The paper concludes with recommendations for trade policy reform in the processed foods and beverages sector designed to assist trade negotiators and other policy makers preparing for the Doha Round of WTO multilateral trade negotiations.

Contents

Preface
Executive Summary
Processed Foods in the Global Economy
What are Processed Foods
Trade Barriers Facing Processed Foods
Involving the Processed Foods Sector in Trade Liberalization
Conclusions and IPC Recommendations
Annex A: Positions of Major Processing Associations on Trade Issues

Annex B: Example of Tariff Escalation

Annex C: The"Level Playing Field" Initiative

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