An Overview of WTO Domestic Support Notifications

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David Orden
14th March - 15th March 2008, International Food Policy Research Institute, Washington D.C.

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An Overview of WTO Domestic Support Notifications

  1. 1. IFPRI An Overview of WTO Domestic Support Notifications David Orden Presented at the Workshop: Improving WTO Transparency: Shadow Domestic Support Notifications IFPRI, March 14-15, 2008 INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE
  2. 2. Outline of the Draft Introductory Chapter 1. Project/Country Chapters Design 2. URAA Domestic Support Rules 3. Projecting Future Notifications 4. Anticipated Issues in Analysis and Interpretation 5. Synopsis of Key Results and Conclusions (to be added/supplant other material after country chapters completed) 6. Appendices—The Full URAA and Falconer (2008) Texts Page 2
  3. 3. Country Chapter Design 1. Synopsis of policies and recent studies 2. Replication of official WTO support notifications 3. Construction of consistent shadow notifications 4. Comparison and discussion of shadow notifications in relation to the WTO rules 5. Discussion of relevant alternative support-definition scenarios 6. Projected notifications through 2013 7. Summary and Conclusions Page 3
  4. 4. URAA Rules Three tightly defined categories exempt from caps: Article 6.2 (Special and Differential Treatment) Article 6.5 (Blue Box) Annex 2 (Green Box) Polices placed in these categories must conform fully to the criteria which are articulated Residual category subject to cap: Total AMS, with exemptions below de minimis amounts Guidelines, but not comprehensive description, of what goes in this category and how it is measured Our analyses will delve into legal and economic issues related to the policies of each country and their placement these different categories Page 4
  5. 5. Projecting Future Notifications Country Policy Uncertainty Falconer Text OTDS caps Total AMS + (new) Blue box + de minimis (but not SDT) Product-specific AMS and Blue Box caps Reduction commitments Remaining uncertainty about key parameters Question of “how binding” compared to URAA World Prices Current forecasts Levels more consistent with 1990-2005 “Everyone loves a boom” Alternative Support Definitions Page 5
  6. 6. Anticipated Issues 1. Measurement of Support Levels 2. Where Do Policies Fit 3. Relation to OECD PSEs and other Estimates of Support 4. Border Protection and Domestic Subsidies 5. Box Shifting 6. Special and Differential Treatment 7. Economic Assessments of Dispute Settlement Decisions 8. Instrument Cascading 9. Classification Criteria that Limit Economically Optimal Policies Page 6
  7. 7. Let’s Get Started… …and take up how to complete a cohesive overall manuscript (and revise Chapter 1) on Saturday after the full set of country presentations, substantial discussion, and (hopefully constructive) brainstorming! Page 7

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