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WTO's 11th Ministerial
Conference – Buenos Aires
What's at stake for domestic support
Nelson Illescas – INAI Foundation
February 22, 2017 - IFPRI
Agreement on Agriculture
2
Market
access
Export
Competition
Domestic
Support
Producer Support Estimate – (%PSE)
Source: Generated by the authors based on data from OECD and Agrimonitor-IADB.
Importance of domestic support in agriculture
61%
54%
49% 49%
45%
24%
19% 19% 18% 17% 15% 15% 12% 12% 11%
9% 8%
5% 3% 3% 3% 2% 1%
-23%
Three year average (2010-12)
ERAMA Zero PSE
Demand shock Shock & Zero PSE
 10%
Baseline
2025
Elimination
all measures
Elimination
all measures
Context
Producer support
Simulated
Scenarios
5
ERAMA Zero PSE
Demand shock Shock & Zero PSE
120
154 179
142
Context
Producer support
World
grain and
oilseed
imports
(Billion USD)
6
 16.4%
 17.6%
7
1.8%
67 000 t
1.8%
118 000 t
20%
195 000 t
Demand shock
(Zero PSE)
Erama
(Zero PSE)
3.4%
101 000 t
1.5%
90 000 t
23.4%
171 000 t
ABPU
Net
Exports
Change
8
ABPU
Net
Exports
Change
4.4%
97 000 t
19.3%
18 352 000 t
10.7%
2 726 000 t
Erama
(Zero PSE)
10.9%
218 000 t
19.2%
17 209 000 t
11.1%
2 673 000 t
4.8%
520 000 t
13%
1 161 000 t
Demand shock
(Zero PSE)
9
 40 420 000 t
 3 311 000 t
Erama
(Zero PSE)
 38 091 000 t
 3 147 000 t
 2 289 000 t  20 478 000 t
 1 141 000 t  1 128 000 t
Net
Change in
Imports
Demand shock
(Zero PSE)
Different approaches
• Domestic support
• Reduction of commitment levels? New rules?
• De minimis
• Notifications
• Cotton
• Market Access?
• Export Competition
• Public Stockholding for Food Security Purposes
• Special Safeguard Mechanism
Future developments
Different analysis proposed in Domestic Support
Analysis of the other pillars
Elaboration of alternative proposals
Contact Us
INAI Foundation
Street: Av. Corrientes 127 4º
Buenos Aires - Argentina
nillescas@inai.org.ar
www.inai.org.ar
+5411 43121092
@Fundacion_INAI
We are
Social Fundación INAI
Fundación INAI

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WTO's 11th Ministerial Conference – Buenos Aires What's At Stake for Domestic Support?

  • 1. WTO's 11th Ministerial Conference – Buenos Aires What's at stake for domestic support Nelson Illescas – INAI Foundation February 22, 2017 - IFPRI
  • 3. Producer Support Estimate – (%PSE) Source: Generated by the authors based on data from OECD and Agrimonitor-IADB. Importance of domestic support in agriculture 61% 54% 49% 49% 45% 24% 19% 19% 18% 17% 15% 15% 12% 12% 11% 9% 8% 5% 3% 3% 3% 2% 1% -23% Three year average (2010-12)
  • 4. ERAMA Zero PSE Demand shock Shock & Zero PSE  10% Baseline 2025 Elimination all measures Elimination all measures Context Producer support Simulated Scenarios 5
  • 5. ERAMA Zero PSE Demand shock Shock & Zero PSE 120 154 179 142 Context Producer support World grain and oilseed imports (Billion USD) 6  16.4%  17.6%
  • 6. 7 1.8% 67 000 t 1.8% 118 000 t 20% 195 000 t Demand shock (Zero PSE) Erama (Zero PSE) 3.4% 101 000 t 1.5% 90 000 t 23.4% 171 000 t ABPU Net Exports Change
  • 7. 8 ABPU Net Exports Change 4.4% 97 000 t 19.3% 18 352 000 t 10.7% 2 726 000 t Erama (Zero PSE) 10.9% 218 000 t 19.2% 17 209 000 t 11.1% 2 673 000 t 4.8% 520 000 t 13% 1 161 000 t Demand shock (Zero PSE)
  • 8. 9  40 420 000 t  3 311 000 t Erama (Zero PSE)  38 091 000 t  3 147 000 t  2 289 000 t  20 478 000 t  1 141 000 t  1 128 000 t Net Change in Imports Demand shock (Zero PSE)
  • 9. Different approaches • Domestic support • Reduction of commitment levels? New rules? • De minimis • Notifications • Cotton • Market Access? • Export Competition • Public Stockholding for Food Security Purposes • Special Safeguard Mechanism
  • 10. Future developments Different analysis proposed in Domestic Support Analysis of the other pillars Elaboration of alternative proposals
  • 11. Contact Us INAI Foundation Street: Av. Corrientes 127 4º Buenos Aires - Argentina nillescas@inai.org.ar www.inai.org.ar +5411 43121092 @Fundacion_INAI We are Social Fundación INAI Fundación INAI