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Domestic support and the WTO negotiations

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  • Sumner, Daniel A.

Abstract

In their attempt to maximise trade benefits, agricultural trade negotiators must allocate scarce resources and consider trade‐offs across issues such as liberalising foreign border measures or reducing foreign domestic subsidies. Analysis and examples support the notion that more liberalisation will be achieved in the new WTO round by emphasis on lowering border barriers and export subsidies rather than attempting to discipline domestic farm subsidies directly. Analyses of EU grain policy, Korean rice policy and US sugar policy show how reduced export subsidy or more import access have substantial trade benefits, even if farmers are compensated with payments or price supports.

Suggested Citation

  • Sumner, Daniel A., 2000. "Domestic support and the WTO negotiations," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 44(3), pages 1-18.
    • Handle: RePEc:ags:aareaj:117847
    DOI: 10.22004/ag.econ.117847
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    References listed on IDEAS

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    2. Glebe, Thilo W. & Salhofer, Klaus, 2006. "Enlargement of Trade Blocs: National Welfare Effects If Trade Is Liberalized," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25529, International Association of Agricultural Economists.
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