In total, members discussed six new submissions on the topics of export restrictions, domestic support and food security.
Export restrictions
Members heard presentations from the United Kingdom, Senegal (representing least developed countries) and Japan regarding their respective submissions (JOB/AG/250, JOB/AG/251, JOB/AG/252).
Both the UK and Japan emphasized the need to enhance the transparency and predictability of export-restrictive measures, including by clarifying WTO provisions to bolster food security. Progress in this regard, they argued, would constitute an important component though not the entirety of a comprehensive package for the 13th Ministerial Conference (MC13) to be held in February 2024.
The proposal from LDC members calls for an MC13 decision to exempt food purchases by LDCs and net food-importing developing countries (NFIDCs) for their domestic consumption from any export restrictions by exporting members. This would complement the MC12 decision, which only exempts World Food Programme humanitarian food purchases from export restrictions, they said.
The three submissions triggered an intense discussion between members. Some agreed with the UK and Japan that enhancing transparency related to export restrictions with some immediate deliverables by MC13, as part of a broader package, and continuing work afterwards would constitute a significant, albeit not sufficient, contribution to improving food security. Others, while not disagreeing with the approach suggested by the proponents, expressed caution, urging members not to get distracted from discussing the need for broader agricultural reform and insisting on the need for a comprehensive and balanced package at MC13.
Some members also stressed the need to prioritize levelling the playing field for members and delivering on public stockholding for food security purposes, domestic support, a special safeguard mechanism for developing countries, and cotton.
Many members broadly supported the LDC group’s proposal on possible exemption from export restrictions and acknowledged the specific food insecurity challenges faced by LDCs and net food-importing developing countries. Some requests for clarification were made, including on the notion of exporting countries.
Some developing members argued that export restrictions were essential policy tools in times of crisis to ensure domestic food security and expressed the view that current WTO provisions on export restrictions were sufficient. Several developing members also opposed any additional notification burden, and some members asked questions about the possible implications of the new proposals in this regard.
The view was also expressed that export restrictions should be considered in the broader context of measures impacting trade flows.
Domestic support
Two new submissions related to domestic support were introduced to negotiators. These included India’s paper on the elimination of Aggregate Measurement of Support (AMS) beyond de minimis , as outlined in JOB/AG/216/Rev.1, and the Cairns agri-food exporting countries’ analysis of the trends of “Green Box” support (JOB/AG/253).
Some developing members supported India’s call to address the “imbalance” in the Agreement on Agriculture by eliminating the AMS above de minimis entitlements enjoyed by a limited group of members, allowing subsidies above the de minimis limits set in terms of the value of production. They argued that these entitlements contributed to the concentration of subsidies on certain products and resulted in poor countries being flooded by cheap imports.
Meanwhile, exporting members called for a holistic approach to address all forms of trade-distorting domestic support, rather than selectively focusing only on AMS above de minimis entitlements. Many of these members announced their co-sponsorship of Costa Rica’s submission JOB/AG/243 and were of the view that it outlined the correct approach to avoid the creation of new distortive subsidies while ensuring the sustainable development of the agriculture sector.
Some members also emphasized the importance of maintaining a balance between domestic support and tariff reforms as well as removing other market barriers. Additionally, some members also suggested considering non-trade concerns when reforming domestic support.
Members provided feedback on the Cairn Group’s submission on the Green Box, which had been presented in a preliminary form in the last negotiation meeting in early October.
Members welcomed the new paper’s evidence-based analysis of Green Box subsidies, which are subsidies not distorting trade or, at most, causing minimal distortion. Noting the growing trends of Green Box subsidies in recent years, some members emphasized the need to strengthen the monitoring of this category of support to prevent its abuse.
Some members also reiterated the crucial role of Green Box support in helping members transition from harmful subsidies and achieve a green transformation in the agriculture sector among other sectors. They also highlighted factors that impact the analysis of trends, such as the size of the population and change in currency exchange rates, among other things. Further studies on the issue were called for.
Food security
Members briefly discussed Brazil’s very recent submission JOB/AG/254, circulated on 19 October, titled “Enhancing Food Security through the Reform in Agriculture and the Use of Current Flexibilities.”
Some members made initial comments and expressed support for a broader approach in addressing the complex issue of food security. This includes perspectives from social, environmental and technological angles, extending beyond emergency responses. More discussions are anticipated in the next negotiation meetings.
Food bought at minimum prices for public stocks
On 19 October, the Chair facilitated a discussion on the procurement of food at minimum prices as part of developing countries’ public stockholding programmes for food security purposes. WTO members have agreed to pursue a “permanent solution” to the challenges some developing economies face under WTO rules when buying food at government-set prices under these programmes.
At the meeting, the Chair invited members to consider the textual suggestions related to one specific element of public stockholding — notifications and transparency — with the aim of facilitating the transition to text-based negotiations. In previous negotiation meetings, the Chair had proposed a similar discussion focusing on safeguard measures.
Some members welcomed the Chair’s element-by-element approach as an effort to pave the way for substantive talks. Many developing members believed that the focus of the outcome on agriculture at MC13 should centre around a food security package, with a solution for public stockholding at its core. They argued that this solution should provide developing members with sufficient flexibilities to purchase food stocks at market support prices. Members should enter immediate text-based negotiations based on the joint proposal JOB/AG/229 to achieve that goal, they emphasized.
Many non-proponents, particularly the Cairns Group countries, acknowledged the importance of transparency but deemed it premature to delve into the text before members could decide on the flexibility to be granted as a possible solution. They insisted that public stockholding needs to be part of domestic support reform to ensure no further trade distortion, aligning with Costa Rica’s submission in JOB/AG/243.
The Chair encouraged members to engage in more candid exchanges among themselves to facilitate progress on this crucial topic. He expressed readiness for further consultations in the coming days.
In a separate dedicated discussion on the proposed new “special safeguard mechanism,” WTO members’ views continued to diverge on whether the topic is linked to broader discussions on improving access to agricultural markets or treated as a stand-alone issue. The Chair emphasized the importance of early clarity on the outcomes that members aim to achieve on this topic at MC13.
Next meetings
The Chair expressed gratitude to members for a fruitful discussion, noting it as a positive signal of members’ ongoing efforts to narrow gaps and find potential landing zones. He noted that members would now await guidance from the Senior Officials'(SOM) meeting on 23-24 October on the way forward toward the 13th Ministerial Conference. A summary of the SOM meeting outcomes is now available here.
The next cluster of agriculture negotiation meetings is scheduled for 21-22 November.
More
The WTO’s agriculture negotiations encompass various topics, including domestic support, market access, export competition, export restrictions, cotton, public stockholding for food security purposes, the special safeguard mechanism and the cross-cutting issue of transparency.
More on the WTO agriculture negotiations: WTO | Agriculture — negotiations
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