The Blair House agreement was an important breakthrough in trade negotiations between the EU and US over agricultural subsidies. In particular, the Common Agricultural Policy CAP had created numerous obstacles to trade such as high tariffs and subsidised exports. These policies were reciprocated in the US.
The Blair House accord was an important preliminary step to the signing of the Uruguay round of trade talks in 1996.
However, the final agreement was a watered down form of agricultural subsidies. It included the concept of tariff rate quotes. It also introduced the concept of ‘blue box’ domestic support.