What is agreement on agriculture


What does the agreement on Agriculture Committee do?

The Committee oversees the implementation of the Agreement on Agriculture and affords Members the opportunity of consulting on any matter relating to the implementation of commitments, including rule-based commitments. For this purpose, the Committee usually meets four times per year.

What is the abbreviation for agreement on agriculture?

Agreement on Agriculture. Jump to navigation Jump to search. The Agreement on Agriculture (AoA) is an international treaty of the World Trade Organization. It was negotiated during the Uruguay Round of the General Agreement on Tariffs and Trade, and entered into force with the establishment of the WTO on January 1, 1995.

What is the agreement on Agriculture (AoA)?

Assuring a reliable supply of safe, nutritious and affordablefood should be the starting point for any discussion on the Agreement on Agriculture (AoA), the World Trade Organisation’s agreement for increasing international trade in farm products and processed foods.

When did the agreement on agriculture come into force?

Jump to navigation Jump to search. The Agreement on Agriculture (AoA) is an international treaty of the World Trade Organization. It was negotiated during the Uruguay Round of the General Agreement on Tariffs and Trade, and entered into force with the establishment of the WTO on January 1, 1995.


What are the objectives of the Agreement on Agriculture?

The primary objective of the Agreement is to reform the principles of, and disciplines on, agricultural policy as well as to reduce the distortions in agricultural trade caused by agricultural protectionism and domestic support.

What is Agreement on Agriculture Upsc?

The Agreement on Agriculture (AoA) is a World Trade Organisation treaty that focuses on reducing the agricultural support and subsidies given to domestic producers by countries.

What are the main features of WTO Agreement on Agriculture?

The WTO Agriculture Agreement provides a framework for the long-term reform of agricultural trade and domestic policies, with the aim of leading to fairer competition and a less distorted sector. The Agreement covers: Market access — the use of trade restrictions, such as tariffs on imports.

What are the pillars of the Agreement on Agriculture?

The Agreement on Agriculture consists of three pillars—domestic support, market access, and export subsidies.

Is India a signatory to Agreement on Agriculture?

India has been a founding member of the WTO and is a signatory to the multilateral Agreement on Agriculture (AoA), which, among other things, regulates domestic subsidies granted by governments in the agricultural sector.

What is WTO Agreement?

The WTO agreements cover goods, services and intellectual property. They spell out the principles of liberalization, and the permitted exceptions. They include individual countries’ commitments to lower customs tariffs and other trade barriers, and to open and keep open services markets.

When was the Agreement on Agriculture established?

The domestic support systems in agriculture are governed by the Agreement on Agriculture (AoA), which entered into force in 1995 and was negotiated during the Uruguay Round (1986-1994).

When was the Agreement on Agriculture signed?

21 June 1999The “Agreement between the European Community and the Swiss Confederation on trade in agricultural products” (Agreement on Agriculture) of 21 June 1999 entered into force on 1 June 2002 and improved mutual market access.

What are the 4 types of agriculture?

There exist four main branches of agriculture, namely;Livestock production.Crop production.agricultural economics.agricultural engineering.

What is green box subsidy?

The Green box subsidies are provided by governments through variety of programmes like the provision of income support to farmers during crop failure, incentives to farmers to protect environment, subsidies for research and development, food aid to the poor people etc.

Which product is not applicable in Agreement on Agriculture?

The products which are included within the purview of this agreement are what are normally considered as part of agriculture except that it excludes fishery and forestry products as well as rubber, jute, sisal, abaca and coir.

What do you mean by Agreement on Agriculture discuss its impact on Indian Agriculture?

The Agreement on Agriculture has three pillars—domestic support, market access, and export subsidies. Domestic support includes the classification of subsidies into ‘boxes’ depending their effects on production and trade. Market access refers to the reduction of tariff (or non-tariff) barriers to trade by WTO members.

What are the WTO agreements for agriculture?

In principle, all WTO agreements and understandings on trade in goods apply to agriculture, including the GATT 1994 and WTO agreements on such matters as customs valuation, import licensing procedures, pre-shipment inspection, emergency safeguard measures, subsidies and technical barriers to trade . However, where there is any conflict between these agreements and the Agreement on Agriculture, the provisions of the Agreement on Agriculture prevail. The WTO Agreements on Trade in Services and on Trade-Related Aspects of Intellectual Property rights are also applicable to agriculture.

What are the present rules and commitments on agriculture called?

The present rules and commitments on agriculture are often called the “Uruguay Round reform programme” — they were negotiated in the Uruguay Round and they include reductions in subsidies and protection as well as other disciplines on the trade.

What were the agricultural negotiations in the Uruguay Round?

The agricultural negotiations in the Uruguay Round were by no means easy — the broad scope of the negotiations and their political sensitivity necessarily required much time in order to reach an agreement on the new rules, and much technical work was required in order to establish sound means to formalise commitments in policy areas beyond the scope of prior GATT practice. The Agreement on Agriculture and the Agreement on the Application of Sanitary and Phytosanitary Measures were negotiated in parallel, and a Decision on Measures Concerning the Possible Negative Effects of the Reform Programme on Least-developed and Net Food-importing Developing Countries also formed part of the overall outcome.

How long is the implementation period for the country specific commitments?

Implementation period. The implementation period for the country-specific commitments is the six-year period commencing in 1995. However, developing countries have the flexibility to implement their reduction and other specific commitments over a period of up to 10 years.

What is the Committee on Agriculture?

Committee on Agriculture. The Agreement established a Committee on Agriculture. The Committee over sees the implementation of the Agreement on Agriculture and affords Members the opportunity of consulting on any matter relating to the implementation of commitments, including rule-based commitments.

What were the trade policies prior to the WTO?

Although agriculture has always been covered by the GATT, prior to the WTO there were several important differences with respect to the rules that applied to agricultural primary products as opposed to industrial products. The GATT 1947 allowed countries to use export subsidies on agricultural primary …

What is separate agreement?

Separate Agreement: Reaffirms right to countries to set their own health and safety standards provided they are justified on scientific grounds and do not result in arbitrary or unjustified barriers to trade; encourages use of international standards; includes certain special and differential treatment provisions

What is a special agriculture safeguard mechanism?

Special agriculture safeguard mechanism against import volume surges or import price declines below a trigger level (limited to “tariffied” products and not applicable to imports under related tariff quota commitments);

What is the purpose of the Agriculture Committee?

The Committee on Agriculture oversees implementation of the Agriculture Agreement and monitors how WTO members are complying with their commitments. Members are required to share information and may ask each other questions or raise concerns about each other’s agricultural policies.

What is cotton discussed in the WTO?

Cotton is discussed at the WTO on two tracks: 1) the trade reforms needed to address subsidies and high trade barriers for cotton, and 2) the assistance provided to the cotton sector in developing countries.

What is export competition?

Export competition — the use of export subsidies and other government support programmes that subsidize exports. Under the Agreement, WTO members agree to “schedules” or lists of commitments that set limits on the tariffs they can apply to individual products and on levels of domestic support and export subsidies.

Did the agricultural trade reform end?

Agricultural trade reform did not end with the birth of the Agriculture Agreement. WTO members are continuing to negotiate agricultural trade reform. More on the agriculture negotiations. WTO members adopted important decisions on agriculture at the 2015 WTO Ministerial Conference in Nairobi, Kenya.

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Why in News

Recently, while addressing the G-33 Virtual Informal Ministerial Meeting, India’s Commerce and Industry Minister pointed out the imbalances in the Agreement on Agriculture at the World Trade Organization (WTO).

Key Points

It is aimed to remove trade barriers and to promote transparent market access and integration of global markets.
The WTO’s Agriculture Committee oversees implementation of the Agreement and provides a forum for members to address related concerns.

What is the importance of agriculture?

The importance of agriculture. The impact of changes in agricultural policy is disproportionately large in developing countries. In Kenyaand Mali, for example, the agricultural sector plays a dominant role, not only in producing food but also in employing people and earning foreign exchange.

Why is agriculture important in developing countries?

Adding to the importance of agriculture in developing countries is that poorer consumers spend a larger proportion of their income on food, making consumers more vulnerable to higher prices and lower incomes.

How does AoA affect food?

The AoA can threaten the amount of safe food available to consumers in several ways. Governments may not be able to import sufficient quantities of food because of rising prices abroad or a shortage of cash at home. At the same time, countries may not produce enough goods domestically because of a decrease in government support or because imports have discouraged domestic production. Cuts in food aid from other countries also can make it difficult for national governments to meet consumer demand.

What are the main ways to gauge the effect of agricultural liberalisation on consumers?

Employment, national income and exports are not the only ways to gauge the effect of agricultural liberalisation on consumers or to outline the appropriate policy priorities for consumers in future negotiations. Domestic production is also important.

Why is domestic production important?

Domestic production, including subsistence farming, is a key source of food for much of the world’s population. In poorer, agriculture-based economies, it is usually more reliable than trade-based sources of food because it provides jobs and does not depend on volatile foreign exchange rates and fluctuating world market prices. The AoA should encourage national governments to pursue domestic agricultural development and give governments the ability to restrict imports if they act as disincentives to domestic production.

How does purchasing power affect farmers?

They are also affected by the prices at which they can sell their crops, as well as how much they must pay for agricultural inputs — the seed, fertiliser and other agricultural chemicals they must buy to produce those crops in the first place. For landless rural and poor urban consumers, purchasing power is not just derived from prices but also from the availability and stability of paid work, and the amount of money received for that work.

How can we make markets in developed countries more accessible to food exports from developing countries?

Making markets in developed countries more accessible to food exports from developing countries by reducing tariffs and eliminating tariff escalation.


Agricultural Trade

Trade Policies Prior to The WTO

Uruguay Round Agricultural Negotiations

Introduction to The Agreement on Agriculture

Relationship with Other WTO Agreements

Product Coverage

Rules and Commitments

  • The Agreement on Agriculture establishes a number of generally applicable rules with regard to trade-related agricultural measures, primarily in the areas of market access, domestic support and export competition. These rules relate to country-specific commitments to improve market access and reduce trade-distorting subsidies which are contained in…

See more on wto.org

Implementation Period

Committee on Agriculture

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