The U. S. trade representative and secretary of agriculture have agreed to settle a dispute with the government of Brazil regarding the U.S. cotton programs.
It is anticipated that this agreement will halt more than $800 million of countermeasures against U.S. exports that have been authorized by the World Trade Organization (WTO) to take effect on April 7, 2010.
The government of Brazil had previously argued that U.S. agricultural subsidies are not in line with an agreement negotiated through the WTO in 2005. The WTO found in Brazil's favor and Brazil then began the process for assessing the aforementioned countermeasures.
More information on USDA's new agreement with Brazil is available here.