♦ Export subsidies and credits are one of the main causes of dumping, because they make it cheap and profitable for agricultural goods to be exported to developing countries.
♦ Dumping of agricultural goods creates serious problems in the Global South. It floods the local market with below cost goods and nearly makes it impossible for small farmers to compete.
♦ A large percentage of people in the Global South rely on agriculture for their primary income.
♦ 70% of rural household income in Asia and 60% in Latin America and Africa come from farming and farm labor.
♦ Dumping stunts the growth of the agricultural sector in the developing world, which in turn makes it more difficult for farmers to break free of poverty.
♦ Small farmers are displaced as they are not able to compete.
♦ As these farmers are forced to leave their land and find work they migrate to either another local city or another country.
♦ Many Latin American displaced farmers migrate to the USA to work as farmworkers.
(Source: Education for Justice/USCCB)