Controversial U.S. Farm Bill was just passed into law. Photo: Johnny Alive (flickr)

Critics of the newly passed U.S. Farm Bill say the measure will hurt poor farmers in the rest of the world.

The $285-billion Farm Bill, which passed into law in May, increases crop subsidies, boosts conservation spending and expands the food stamp program. It also guarantees annual payments to farmers and pays farmers for any crops they sell for less than the federally regulated minimum price.

But international agencies – and even members of the president’s own administration – railed against the measure.

Deputy U.S. Agriculture Secretary Chuck Conner said the measure “heads in the wrong direction in terms of our international obligations,” and expects trade partners “to protest in every way they can." Australia is already making plans to challenge the Bill through the World Trade Organization.

Oxfam America says that by encouraging large companies to overproduce, U.S. government subsidies lead to dumping – selling surplus goods in international markets at prices under the cost of production. The humanitarian agency says this undermines local production, threatens millions of farmers worldwide and clearly violates WTO rules.

Even before this Farm Bill, U.S. farm programs were criticized internationally for their trade-distorting subsidies. This bill further undermines our moral authority. Horst Koehler, an official with the International Monetary Fund, criticized the U.S. for its "double standards" about open markets.

Our hypocrisy not only damages our reputation, but makes the EU and other large exporters less likely to adopt the kind of policies that will help the world’s farmers.