Return to TFB Main Page
Return to Current Edition
Texas Agriculture Archive

October 3, 2003

By Bryce Myrick
Director, TFB Agricultural Marketing Education

What Really Happened at the WTO Meeting in Cancun, Mexico the week of September 12?

Many already know that the meeting broke down and countries went home without any agreements made. Whether you like being part of the World Trade Organization (WTO) or not, you must realize that what happens at WTO meetings affects everyone involved in agriculture. In 2002, the U.S. exported $56 billion in agriculture products, while importing $45 billion in agriculture products. In 2003, exports are projected to increase one-half billion dollars, while imports are projected to increase $3.5 billion.

In the future we may look back and realize this was a world meeting that changed agriculture. At past meetings, countries have been unofficially classified as developed countries or developing countries. Normally, the U.S., Japan, European Union, and some smaller developed countries argue at the table, while developing countries who have never stood together, get the scraps.

This year, developed countries went to the meeting to reduce trade barriers and open more world markets. But what happened was developing countries, called the Group of 20, led by Brazil, Argentina, China, India, and South Africa, stood together. Their goal was to eliminate farm subsidies in developed countries.

Even though the meeting broke down this may have been a meeting that changes world agriculture.

DECEMBER - COTTON

Fundamentals: Tight U.S. carryover
Technical Analysis: Trend - Up / Resistance - 66.30 / Support 57.40

DECEMBER - LIVE CATTLE

Fundamentals: Boxed beef at record prices.
Technical Analysis: Trend - Up / Resistance - 85.00 / Support 79.20

Fundamentals: China is exporting corn.
Technical Analysis: Trend - Down / Resistance - 2.45 / Support - 2.24

DECEMBER - KC WHEAT

Fundamentals: Very low world stocks
Technical Analysis: Trend - Down / Resistance - 3.75 / Support - 3.14