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Brazil May Act on Cotton Subsidies in October, O Globo Says

Brazil may retaliate against the U.S. in October if it determines that the U.S. isn’t honoring an agreement over cotton subsidies to American farmers, O Globo reported, citing Brazil’s ambassador at the World Trade Organization, Roberto Azevedo.

Brazil will wait until the approval of U.S. farm bill, set for Sept. 30, to see if it will take any action, O Globo said.

Retaliation could take the form of sanctions on U.S. imports.

To contact the reporter on this story: Mario Sergio Lima in Brasilia newsroom at mlima11@bloomberg.net

To contact the editor responsible for this story: Sylvia Wier at swier@bloomberg.net

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