LONDON, August 4, 2008 (AFP) - Brazil is prepared to hit the United States with court action over its farm subsidies following the collapse of world trade talks, Foreign Minister Celso Amorim told the Financial Times newspaper.

The Latin American giant would rather not take action against Washington over what it says are illegal subsidies and other trade barriers, Amorim told the British business daily, in an interview published Monday.

However, since Tuesday's collapse of the Doha round of World Trade Organization (WTO) talks in Geneva, it was now the only option, he said.

'The clock is ticking,' Amorim told the FT.

'Our understanding with the US was good throughout and it never came to acrimony. But they are the biggest subsidisers in the world in terms of what affects us, so we will have to see them in court.'

In June, a WTO panel upheld a Brazilian complaint that the US breached trade rules over its subsidies for cotton farmers. Brasilia could to seek more than one billion dollars (640 million euros) in retaliatory sanctions.

Amorim said he was open to proposals from Washington. 'I don't have any problem if they want to offer a partial deal that puts a cap on their subsidies,' he said.

'But countries want the power to say 'no' to some things in order to get what they want. I don't think (partial deals) work in a system like the WTO.'

He said Brazil and Canada had prepared joint action against the United States on subsidies in general.

'This was in slow motion and now it will be accelerated.'

Giving his first interview since returning to Brazil from Geneva, Amorim said: 'I cannot help but feel very frustrated.'

He said Brazil would reinitiate negotiations with the European Union and forging links between Mercosur and Asia.

'These things all have merits. But in relation to the Doha round they are all second best because they are not dealing with the main distortion to world trade, which is subsidies.'