Agricultural Trade Reform and the Doha Development Agenda

40 Pages Posted: 8 Jul 2005

See all articles by Kym Anderson

Kym Anderson

University of Adelaide - Centre for International Economic Studies (CIES); Centre for Economic Policy Research (CEPR); Australian National University

Will J. Martin

International Food Policy Research Institute (IFPRI)

Date Written: May 2005

Abstract

This paper examines the extent to which various regions, and the world as a whole, could gain from multilateral trade reform over the next decade. The World Bank's LINKAGE model of the global economy is employed to examine the impact first of current trade barriers and agricultural subsidies, and then of possible outcomes from the WTO's Doha round. The results suggest moving to free global merchandise trade would boost real incomes in Sub-Saharan Africa and Southeast Asia (and in Cairns Group countries) proportionately more than in other developing countries or high-income countries. Real returns to farm land and unskilled labor, and real net farm incomes, would rise substantially in those developing country regions, thereby helping to reduce poverty. A Doha partial liberalization could take the world some way towards those desirable outcomes, but more so the more agricultural subsidies are disciplined and applied tariffs are cut, and the more not just high-income but also developing countries choose to engage in the process of reform.

Keywords: Trade policy, WTO, Doha Development Agenda, multilateral negotiations

JEL Classification: C68, D58, F13, F17, O55, Q17

Suggested Citation

Anderson, Kym and Martin, William J., Agricultural Trade Reform and the Doha Development Agenda (May 2005). Available at SSRN: https://ssrn.com/abstract=753573 or http://dx.doi.org/10.2139/ssrn.753573

Kym Anderson (Contact Author)

University of Adelaide - Centre for International Economic Studies (CIES) ( email )

School of Economics
Adelaide SA 5005
Australia
+61 8 8313 4712 (Phone)
+61 8 8223 1460 (Fax)

Centre for Economic Policy Research (CEPR)

London
United Kingdom

Australian National University ( email )

Arndt-Corden Dept of Economics
Coombs Building
Canberra, AK ACT 2600
Australia
+61 8 8313 4712 (Phone)

HOME PAGE: http://publicpolicy.anu.edu.au/crawford_people/content/staff/acde/kanderson.php

William J. Martin

International Food Policy Research Institute (IFPRI) ( email )

1201 Eye St, NW,
Washington, DC 20005
United States

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