Agriculture Subsidies: Unravelling the Linkages between the Amber Box and the Blue Box Support

2021 ◽  
pp. 1-17
Author(s):  
James J. Nedumpara ◽  
Sparsha Janardhan ◽  
Aparna Bhattacharya
Keyword(s):  
Market Price ◽  
Policy Space ◽  
Price Support ◽  
Specific Support ◽  
Calculation Methodology ◽  
Direct Payments ◽  
Legal Understanding ◽  
Domestic Support ◽  
Agreement On Agriculture

Abstract Domestic support disciplines under the Agreement on Agriculture are controversial, to say the least. The aggregate measurement of support (AMS) restricts Members’ policy space to provide product-specific support. The structural flaws in the determination of AMS further compel Members to explore alternatives. In contrast to the Amber Box, the Blue Box offers certain flexibilities for Members to exempt product-specific support from AMS calculation. The Blue Box reflects several elements which are seemingly typical to the Amber Box, except that it has certain production-limiting features. This article explores the legal bounds of the Blue Box measures, and its similarities and dissimilarities with the Amber Box. Towards this end, the article builds on a fresh legal understanding of the Blue Box based on its negotiating history and interpretative bounds, and also offers a fuller appreciation of market price support (MPS) and non-exempt direct payments under the Amber Box. While the calculation methodology for non-exempt direct payments bears a close resemblance to the calculation of MPS, the article argues that direct payment and MPS measures are fundamentally distinct types of product-specific support which makes the interchangeability of Blue and Amber Boxes seemingly difficult.

Demystifying Blue Box Support to Agriculture Under the WTO: Implications for Developing Countries

2021 ◽  
Vol 22 (2) ◽  
pp. 161-185
Author(s):  
Sachin Kumar Sharma ◽  
Adeet Dobhal ◽  
Surabhi Agrawal ◽  
Abhijit Das
Keyword(s):  
Developing Countries ◽  
Agricultural Sector ◽  
Economic Situation ◽  
Agricultural Products ◽  
Pivotal Role ◽  
Doha Round ◽  
Policy Space ◽  
Specific Support ◽  
Domestic Support ◽  
Agreement On Agriculture

Developing members at the WTO face a shrinkage in policy space for supporting their agricultural sector due to the limited room available under the provisions of the Agreement on Agriculture (AoA). Contrastingly, most developed members can provide high levels of product-specific support without breaching their commitments on account of their support entitlements. For some of these members, the so-called ‘Blue Box’ under the AoA, plays a pivotal role in expanding the policy space with respect to domestic support to agricultural products. Though a lot of scholarship has discussed and examined other support provisions under the AoA, the ‘Blue Box’ remains relatively shrouded in mystery. Testimony to this is the fact that although the Blue Box has found use amongst developed members, no developing member, except for China in 2016, has ever used the Blue Box to support their producers. Given the impasse in the Doha Round of negotiations and limited flexibilities available under the AoA, this paper examines the feasibility and compatibility Blue Box measures with developing members’ socio-economic situation. Findings of this paper bring to fore the variations in member practice and the operational flexibilities available in implementing Blue Box programmes to support agriculture. JEL: F13, F14, F17, Q17

China – Domestic Support for Agricultural Producers (China–Agricultural Producers), DS511

2019 ◽  
Vol 18 (3) ◽  
pp. 531-532
Author(s):  
Marcus Sohlberg ◽  
Ariane Yvon
Keyword(s):  
Indica Rice ◽  
Market Price ◽  
The United States ◽  
Japonica Rice ◽  
Price Support ◽  
Agricultural Producers ◽  
Support Measures ◽  
The Us ◽  
Domestic Support ◽  
Agreement On Agriculture

The dispute concerns certain market price support measures by China to domestic agricultural producers of wheat, Indica rice, Japonica rice, and corn, which the United States (US) claimed were inconsistent with China's obligations under the WTO Agreement on Agriculture. Specifically, the US considered that China utilized market price measures in the period 2012–2015 to support farmer incomes and increase production of the said agricultural products, but that this support was in excess of China's WTO commitments. At the outset, the Panel found that the support measures for Chinese corn producers had expired, and that there were no factors weighing in favor of making findings on this expired measure. So, no findings were made with respect to this claim.

scholarly journals Tingkat Dukungan Domestik untuk Sektor Pertanian Indonesia

2018 ◽  
Vol 14 (1) ◽  
pp. 73 ◽  
Author(s):  
Tahlim Sudaryanto ◽  
Mohammad Iqbal ◽  
Reni Kustiari ◽  
Saktyanu K. Dermoredjo ◽  
Chairul Muslim ◽  
...  
Keyword(s):  
Large Scale ◽  
Market Price ◽  
Small Scale ◽  
Price Support ◽  
Private Sector Investment ◽  
Long Run ◽  
Depth Analysis ◽  
Efficient Scheme ◽  
Small Scale Farmers ◽  
Domestic Support

<p>There is common perception that domestic support to agriculture in Indonesia is relatively small. Therefore, the level, composition, and trend of support to agriculture require an in-depth analysis.  Some types of commonly used indicators on support to agriculture are <em>Producer Support Estimate </em>(PSE), <em>Total Support Estimate </em>(TSE), and<em> General Services Support Estimate </em>(GSSE). These indicators are analyzed for Indonesian agriculture covering the period of 1995–2014, and consist of 15 commodities. The PSE estimate indicates an increasing trend from 3.9% in 1995–1997 to 20.6% in 2012–2014. In 2012–2014 the PSE of Indonesian agriculture was slightly higher than that of China (19.2%) but larger compared to that of OECD average (17.9%). The<em> </em>TSE estimate (% to GDP) significantly increased from 0.8% in 1995–1997 to 3.6% in 2012–2014. In 2012–2014 the TSE of agriculture in Indonesia was the largest. Agricultural support in term of market price support has caused an increased price at the consumer level which ultimately reduces food nutrition intake. In the long run, more effective policy is to promote agricultural production and productivity through innovation, investment on infrastructures, and easing private sector investment. The largest part of government budget is spent on fertilizer subsidy which proportionately benefits large-scale farmers and fertilizer industry. More efficient scheme is to convert this subsidy into direct payment targeted to small-scale farmers.</p><p> </p><p align="left">Abstrak</p><p>Selama ini ada anggapan umum bahwa dukungan domestik (<em>domestic</em> <em>supports)</em> terhadap sektor pertanian Indonesia masih relatif rendah. Sehubungan itu, besaran dan komposisi dukungan serta bagaimana perubahannya antarwaktu, perlu dianalisis dengan seksama. Beberapa indikator yang biasa digunakan untuk mengukur tingkat dukungan tersebut adalah <em>Producer Support Estimate </em>(PSE), <em>Total Support Estimate </em>(TSE), dan<em> </em>(<em>General Services Support Estimate </em>(GSSE). Berbagai indikator tersebut telah dianalisis untuk sektor pertanian Indonesia meliputi periode tahun 1995–2014 dan mencakup 15 komoditas. Nilai PSE menunjukkan tren<em> </em>peningkatan dari 3,9% tahun 1995–1997 menjadi 20,6% tahun 2012–2014. Pada tahun 2012–2014 nilai PSE sektor pertanian Indonesia sedikit lebih tinggi dari Tiongkok (19,2%), namun lebih tinggi dari negara-negara OECD (17,9%). Nilai TSE sektor pertanian Indonesia (% terhadap PDB) meningkat secara signifikan dari 0,8% tahun 1995–1997 menjadi 3,6% tahun 2012–2014. Pada tahun 2012–2014 nilai TSE Indonesia adalah yang tertinggi. Hasil analisis ini menolak anggapan umum bahwa perhatian pemerintah terhadap sektor pertanian relatif kurang. Dukungan terhadap sektor pertanian dalam bentuk perlindungan harga akan berdampak pada peningkatan harga pangan di tingkat konsumen yang pada akhirnya menurunkan asupan gizi masyarakat.  Dalam jangka panjang, prioritas kebijakan yang lebih efektif adalah peningkatan produksi dan produktivitas melalui sistem inovasi, pembangunan infrastruktur, dan mempermudah investasi swasta. Sebagian besar transfer anggaran pemerintah untuk sektor pertanian adalah subsidi pupuk yang secara kumulatif lebih banyak dinikmati oleh para petani luas dan produsen pupuk.  Skema yang lebih efisien adalah mengonversi subsidi tersebut ke dalam sistem transfer pendapatan dan dibatasi hanya untuk petani kecil.</p>

scholarly journals China ‒ Domestic Support for Agricultural Producers: One Policy, Multiple Parameters Imply Modest Discipline

2021 ◽  
pp. 1-16
Author(s):  
Dukgeun Ahn ◽  
David Orden
Keyword(s):  
Indica Rice ◽  
Market Price ◽  
The United States ◽  
Japonica Rice ◽  
Price Support ◽  
Agricultural Producers ◽  
Multiple Parameters ◽  
Economic Support ◽  
Key Issues ◽  
Domestic Support

Abstract This paper assesses key issues in the dispute over the United States’ claim that for certain grains China exceeded its limits on domestic support under the Agreement on Agriculture (AoA) during 2012–2015. The panel first determined that the base years for the reference price in calculating China's market price support were 1996–1998, rather than 1986–1988 as stipulated in the AoA, and that production in the geographic regions where the support programs operated, not the smaller quantities purchased at administered prices, constituted eligible production. The panel then found China had exceeded its limits in each of the four years for wheat, Indica rice, and Japonica rice. The possibility was left open that a government can determine eligible production by setting maximum purchases at support prices in its regulatory framework. China used this option to claim that its programs for 2020 implemented the recommendations and rulings of the DSB. We argue that use of outdated fixed external reference prices to measure the price gap and to define eligible production by limits on purchases, distance calculation under the AoA from economic support measurement. The measurement issues compound the discord among Members over levels of agricultural support.

scholarly journals Using of welfare economics instruments for evaluation of agricultural research benefits

2005 ◽  
Vol 53 (3) ◽  
pp. 43-48
Author(s):  
Libor Grega
Keyword(s):  
Agricultural Research ◽  
Market Price ◽  
Welfare Economics ◽  
Price Support ◽  
State Budget ◽  
Direct Payments ◽  
Role Support

Except for direct forms of support of agriculture, including market price support, direct payments and support of agricultural inputs, there also exist many forms of indirect support of agriculture. Within this support of general services has an important role support of agricultural research. As an inevitable precondition to evaluate efficiency of used financial sources from state budget is a quantification of benefit of agricultural research. The paper is focused on possibilities of using welfare economics instruments to quantify the benefit of agricultural research.

Caracterización de la roca mediante propiedades físicas y su relación con la resistencia a la compresión simple

2021 ◽  
Vol 2 (4) ◽  
pp. 5081-5093
Author(s):  
Patricio Feijoo Calle ◽  
Elizabeth Brito Verdezoto
Keyword(s):  
Compressive Strength ◽  
Physical Properties ◽  
Unconfined Compressive Strength ◽  
Approximate Determination ◽  
Practical Application ◽  
Calculation Methodology

En este trabajo se propone una metodología sencilla y de aplicación práctica en campo para la determinación aproximada de la Resistencia a la Compresión Simple (RCS) en rocas, propiedad o característica que es importante en minería, ya que mediante la misma, se ejecutan análisis para la valoración de factores de seguridad y estabilidad y/o posibles sistemas de fortificación en las obras o estructuras mineras, a más de que la caracterización de la RCS es también influyente en el uso de explosivos para la explotación o extracción de materiales de una cantera o mina. Esta estimación se la propone en base a la determinación de las siguientes tres propiedades de la roca, que en esta investigación las denominamos densidad, porosidad y absorción “en mina”. Estas propiedades físicas se las puede obtener de una forma simple, pero metódica y en este trabajo se han ejecutado ensayos sobre un mismo material o roca proveniente de la zona de Cojitambo, provincia del Cañar (Ecuador) y sobre una base de 60 muestras o probetas. Los resultados obtenidos permiten una correlación entre las propiedades antes descritas y la RCS, a más que se ha estructurado una metodología de cálculo para el objetivo planteado.   This work proposes a simple methodology and practical application in the field for the approximate determination of the Unconfined Compressive Strength (UCS) in rocks, property or characteristic that is important in mining, since through it analyzes are carried out to the assessment of security and stability factors and/or possible fortification systems in the works or mining structures, in addition to the characterization of the UCS is also influential in the use of explosives for the exploitation or extraction of materials from a quarry or mine. This estimate is proposed based on the determination of the following three properties of the rock, which in this investigation we call density, porosity and absorption “in mine”. These physical properties can be obtained in a simple, but methodical way and in this work, tests have been carried out on the same material or rock from the Cojitambo area, Cañar province (Ecuador) and on the basis of 60 samples or test tubes. The results obtained allow a correlation between the properties described above and the UCS, in addition to a calculation methodology for the proposed objective.

scholarly journals An Experimental Analysis of Price Formation on the Polish Power Exchange

2015 ◽  
Vol 15 (2) ◽  
pp. 115-127
Author(s):  
Ewa Drabik
Keyword(s):  
Electricity Market ◽  
Market Price ◽  
Market Mechanism ◽  
Financial Supervision ◽  
Energy Market ◽  
Price Support ◽  
Transaction Prices ◽  
Power Exchange ◽  
Energy Trade ◽  
And Control

Abstract The Polish energy market gained its competitive character in late 1990s. At that time in majority of European countries a new law was enacted (in Poland – in 1987), which enabled the creation of internal energy markets. The Polish Power Exchange has been functioning since the end of 1999. However, from the very onset it has constituted a vital component of under grounding liberalization of electricity market. Since it was created the Polish Power Exchange has served as a market mechanism for setting objective energy market price. Support and control of the Polish Financial Supervision Authority guarantee the security of concluded transactions. The spot energy market was created as the first one and has functioned according to the rule of the double auction. The model of Sadrieh will be used for the description of the auction rules applied to the spot energy trade on the Polish Power Exchange. Furthermore, an algorithm on the basis of which it is possible to forecast transaction prices is presented. The effectiveness of this algorithm will be compared with other traditional methods of forecasting transaction prices.

Appraising the Scope and Application of the Market-Price Rule in Upheld Contracts

2020 ◽  
Vol 32 (2) ◽  
pp. 253-276
Author(s):  
Paul Nkoane
Keyword(s):  
South African ◽  
Market Price ◽  
Comprehensive Analysis ◽  
Breach Of Contract ◽  
Latent Defects ◽  
Methods And Techniques ◽  
Price Rule

The use of the market price for determining liability in contract lacks dedicated attention in South African law. Even far scanter is the holistic literature on the use of the market-price rule in contracts that are not terminated on breach of contract. Although, there has been suggestions that the market-price rule can be used to determine damages in upheld contracts, this was never technically demonstrated. Thus, the argument that the market-price rule can be used in contracts that are not terminated remains moot. This article presents various methods that illustrate how the market-price rule should apply in upheld contracts. The article undertakes a comprehensive analysis of the market-price rule to determine its efficacy in contracts that are not terminated, with the focus on the determination of the degree of liability. Regarding the determination of liability, the article to some extent discusses contracts with latent defects and those with items of questionable quality. Various methods and techniques are discussed to enlighten about how the market price can affect the determination of liability in upheld contracts, and to illustrate that this principle is suitable for determining damages in contracts that are not terminated.

Agriculture: Food Security and Trade Liberalization

2017 ◽  
Author(s):  
Stefan Tangermann
Keyword(s):  
Developing Countries ◽  
Food Security ◽  
Trade Liberalization ◽  
Market Orientation ◽  
World Trade ◽  
Developed Countries ◽  
International Markets ◽  
Doha Round ◽  
Domestic Support ◽  
Agreement On Agriculture

In the WTO's Doha Round, agriculture is again at center stage, even though it accounts for no more than a small and declining share of world trade. The Agreement on Agriculture concluded in the Uruguay Round was a huge step forward in the GATT's dealings with agriculture. But more needs to be done. In recent years, agricultural support in several developing countries has increased while developed countries have reformed their farm policies and improved market orientation. One specific problem in the Doha Round negotiations on agriculture is the treatment of public stockholding for food security purposes. A possible solution could come through an amendment of the rules for measuring domestic support, by agreeing that procurement prices below prices prevailing on international markets are not considered "administered prices".

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