WTO rules in favour of Guatemala

By Mayora IP

In the cases brought before the WTO in 2019, the rival producers alleged that India had broken WTO rules by providing excessive domestic support and export subsidies for sugar and sugarcane.

"We recommend that India bring its WTO-inconsistent measures into conformity with its obligations under the Agreement on Agriculture and the SCM (Subsidies and Countervailing Measures) Agreement," the panel said, according to a Reuters report.

India, the world's second-largest sugar producer, after Brazil, said later that it would appeal the findings of the panel's 115-page report.

The appeal will go into a legal void, however, since the WTO's top chamber, the Appellate Body, does not have enough judges to function.

The WTO report said that for five sugar seasons between 2014-15 and 2018-19, India provided domestic support to its sugarcane producers in excess of the maximum level of 10% permitted by a global agriculture deal.
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