2003年-世界发展银行全球_Agriculture_Trade_and_the_WTO_in_South_Asia_260页_1mb

Summary of Agriculture, Trade, and the WTO in South Asia

Core Content

This document explores the role of agriculture in South Asian economies and examines the impact of trade liberalization under the Uruguay Round Agreement on Agriculture (URAoA) on the region's agricultural trade policies. It also discusses the implications of the World Trade Organization (WTO) rules on market access, domestic support, and export subsidies for South Asian countries. The studies are part of a World Bank initiative aimed at improving the participation of developing countries in multilateral trade negotiations.

Main Points

1. Agriculture's Role in South Asia

• Agriculture is a vital sector in South Asian economies, contributing to nearly 28% of the gross domestic product (GDP).
• It supports a significant portion of the population, particularly in rural areas, where 70% of the population resides and relies on agriculture for livelihood.
• The region is home to approximately 1.3 billion people, making it the most populous in the world.
• Poverty is a major issue, with about 522 million people living below $1 per day.

2. WTO and Trade Liberalization

• The inclusion of agriculture in the WTO was a major achievement of the Uruguay Round (1986–1994).
• The URAoA aimed to reduce trade policy distortions, increase market access, and limit trade-distorting subsidies.
• Despite progress, the liberalization process has not fully addressed the concerns of developing countries, which continue to face high levels of protection and subsidies from industrialized nations.

3. South Asian Countries and WTO Commitments

• Bangladesh: Has significantly reduced applied tariffs post-URAoA, with average rates dropping below bound rates. The country has removed many quantitative restrictions and implemented a more streamlined tariff system.
• India: Has not fully committed to binding tariffs for all agricultural products, with some remaining unbound. The country also has a complex system of domestic support and subsidies.
• Pakistan: Has bound over 90% of its agricultural tariff lines, but 6% remain unbound, including cotton, tobacco, and pig meat. Tariff rates have declined over time.
• Sri Lanka: Made notable progress in reducing tariffs and implementing a more transparent system. It has also offered preferential tariffs to several countries and has a significant number of duty-free items under bilateral trade arrangements with India.

4. Market Access Reforms

• The URAoA emphasized the "tariffication" of non-tariff barriers, which involves converting non-tariff measures into tariff equivalents.
• Tariff reductions were expected to be 24% for developing countries and 36% for industrialized countries.
• The average applied tariff rate in the agricultural sector for South Asia dropped significantly, with some countries like Sri Lanka and Pakistan achieving substantial reductions.

5. Domestic Support and Export Subsidies

• South Asian countries have not fully implemented the URAoA's provisions on domestic support and export subsidies.
• Many still rely on "green-box" measures, which are considered non-trade-distorting, and apply for "Special and Differential (S&D) Treatment" to protect their agricultural sectors.
• The region continues to face challenges in balancing trade liberalization with the need to support domestic producers and ensure food security.

Key Information

• Tariff Commitments:

  • Bangladesh: Bound rate 200%, applied rate 29.9%.
  • India: Bound rates vary (100, 150, 300%), applied rates are not fully disclosed.
  • Pakistan: Bound rate 100–150%, applied rate 71.5%.
  • Sri Lanka: Bound rate 50%, applied rate 35.5%.

• Non-Tariff Barriers:

  • Many South Asian countries have reduced non-tariff barriers, but some still impose quantitative restrictions on specific agricultural products like paddy rice and maize.

• Trade Performance:

  • Agricultural trade reforms in South Asia lag behind those in Southeast Asia and Latin America.
  • The region's participation in global trade is limited due to high protection levels and the lack of comprehensive policy reforms.

• Challenges and Opportunities:

  • Developing countries in South Asia need to improve their capacity to engage effectively in WTO negotiations.
  • There is potential for further gains from domestic policy reform and increased market access for agricultural exports.
  • The new WTO round is expected to address broader trade issues and provide more opportunities for developing countries.

Conclusion

The document highlights the importance of agriculture in South Asia and the ongoing challenges in achieving meaningful trade liberalization. While some progress has been made in reducing tariffs and non-tariff barriers, the region still faces significant hurdles in fully implementing WTO rules. The World Bank and other international institutions play a crucial role in supporting these reforms and helping developing countries navigate the complexities of global trade.