An Indian trade official told said New Delhi plans to join as third party in the latest dispute Brazil raised against Washington’s trade-distorting subsidies for a variety of American products. The US had committed to limit its total aggregate measurement of support (AMS), which is most trade-distorting component, to around US$19.89 billion in 1999 and for each subsequent year to US$19.10 billion.
Brazil alleged that “despite these commitments, the US’ current total aggregate measurement of support appears to have exceeded its commitment levels in each of the years 1999, 2000, 2001, 2002, 2004, and 2005 in violation of Afticle 3.2 (of WTO’s Agreement on Agriculture).” Under Article 3.2, “a WTO member shall not provide support in favour of domestic producers in excess of the commitment levels specified in Section I of Part IV of its schedule.”