US Takes India to WTO over NTB on Poultry

The denial of access to the lucrative $300mn Indian market for chicken legs, a discard from the US market which favours wings and breast is now before the WTO.

The United States on Tuesday began action at the World Trade Organisation (WTO) to open India's market for poultry meant and eggs. It says an Indian ban on US imports intended to stop the spread of bird flu was not based on sound science.

"The United States is the world's leader in agricultural safety and we are confident that the WTO will confirm that India's ban is unjustified," US Trade Representative Ron Kirk said in a statement on the US request for consultations.

The US poultry industry welcomed the move, which they said could pry open a market for US poultry exports conservatively valued at more than $300 million.

"In our view, India's posture is thinly guised protectionism," Jim Sumner, president of the US Poultry and Egg Export Council, said in a statement.

"More than 100 countries enjoy chicken imported from the United States. As the middle class in India continues to expand, and the market moves more toward commercial poultry, the United States should be afforded the opportunity to compete fairly with our products in this growing market," Mike Brown, president of the National Chicken Council, added.

US officials said international scientific standards for controlling avian influenza do not support banning imports due to low pathogenic avian influenza, which is the only type detected in the United States since 2004.

The United States is the world's largest broiler meat producer and second largest exporter, behind Brazil.

India is forecast to produce about 2.70 million metric tons of broiler meat this year, providing some opportunity for imports, the Agriculture Department report showed.

Consultations are the first step in the WTO dispute settlement process and parties are encouraged to agree to a solution at this stage. If the matter is not resolved through consultations, the United States may request the establishment of a WTO dispute settlement panel.

It is alleged that chicken are reared in the US under revolting conditions. Overcrowding, death from starvation and thirst, unethical slaughter are common in factory rearing of seven week broilers. The chicks never see their mother during their life time. The amount of waste generated and wasted food shows an inefficient method of food production. As of now, there is a stiff duty of 30% on poultry but low price imports can get past the tariff barrier in no time.