A new vision for agriculture
momagri, movement for a world agricultural organization, is a think tank chaired by Pierre Pagesse.
It brings together, managers from the agricultural world and important people from external perspectives,
such as health, development, strategy and defense. Its objective is to promote regulation
of agricultural markets by creating new evaluation tools, such as economic models and indicators,
and by drawing up proposals for an agricultural and international food policy.
A look at the news

Regulation: A republican official calls for a rapid alignment of US and European policies

6 June 2011



Jill E. Sommers is one of the five commissioners of the Commodity Futures Trading Commission (CFCT)––the independent federal agency whose mandate is to regulate commodity futures and option markets in the United States. In her May 25, 2011 statement before the Committee on Agriculture of the House of Representatives, the Republican official called for a rapid harmonization of regulatory measures between the United States and Europe.

I believe one of the most important components of this new regulatory landscape {…} is to achieve global consistency and cooperation,” said Ms Sommers. More precisely, the American Commissioner feels that cooperation and harmonization regarding the issue of ownership limits must be strengthened. “The Commission has for years imposed position limits in the agricultural commodity market. {…} Historically, such system has not been used in the EU and, even under current proposals, may only mandate position limits in agricultural commodity markets. This is an area in which we need to ensure that our rules are harmonized to the maximum extent possible.

In addition, the American Commissioner is concerned about the “disparities in timing between the US and the EU in implementing reforms to the OTC derivatives market.1

Beyond the proposals to regulate financialized markets brought up in the framework of the G20 Summit, the issue to be addressed is therefore that of transparency, harmonization of policies and regulations already implemented in the various continents. This step is indeed a required precondition if we want to assess as acutely as possible the impact of a regional regulation at the international level, and the potential tax or financial rivalries that would be generated, which would harm global effectiveness of the measures considered.

Jill Sommers’ appeal is indeed timely. On June 2 and 3, French Minister of Agriculture Bruno Le Maire is coming to the United States for an official visit. The meeting will therefore be the opportunity to clarify and compare the positions of these two historical agricultural powerhouses, a few weeks before the Agricultural G20 meeting in Paris.

1 According to the Commissioner, reforming the European Markets in Financial Instruments Directive (MiFID) is not likely to be completed before the end of 2012.

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Paris, 23 April 2014