Agricultural policies and support

Agriculture and Development: The Case for Policy Coherence


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Agriculture and Development: The Case for Policy Coherence defines the ‘where’ (country impact), ‘how’ (most damaging forms of support), ‘which’ (commodity aspects) and ‘who’ (household effects) of agricultural policy reform. It treats the effects of four main categories of OECD country agricultural policies: domestic, trade, regulatory, and development co-operation policies. In each case it identifies the implications from the perspective of making agriculture and development policies more coherent.

The OECD’s calculations of its member countries’ support to agriculture receive world-wide attention. These numbers have been used effectively by NGOs, international organisations and others to draw attention to the huge sums of money spent to support agricultural producers, often the richest ones.

However, the political will for change continues to be sapped by vested interests that stand to lose out. With a view to helping policy analysts and decision makers focus on the development impacts of their policies, this report discusses the extent to which OECD country agricultural and agricultural trade policies are coherent with, and supportive of, the achievement of the Millennium Development Goals, particularly the elimination of extreme poverty and hunger.

By providing a survey of the policy coherence dimension in OECD country agricultural policy-making, this report provides the analytical framework that policy makers need to help them weigh their decisions in the light of their countries’ internationally agreed development commitments.

Table of contents

Executive Summary

Chapter 1. Introduction

  • Agriculture and Development Goals
  • Policy Coherence and Agriculture - A Framework

Chapter 2. Policy Coherence between OECD Domestic Agricultural Policies and Development Objectives

  • Exploring the Impacts of OECD Country Agricultural Policies on Development
    -Empirical Estimates of Policy Coherence
  • Price Variability and Food Security

Chapter 3. Policy Coherence between OECD Country Agricultural Trade Policies and Development Objectives

  • The Impact of Regional or Bilateral Liberalisation
  • Agricultural Trade Preferences as a Development Instrument
  • Agricultural Trade Preferences and Preference Erosion
  • Tariff Escalation
  • Trade Remedy Measures
  • Recognition of Developement Concerns in International Trade Rules

Chapter 4. Policy Coherence between OECD Country Regulatory Policies and Development Objectives

  • Regulatory Barriers
  • Sanitary and Phytosanitary Measures and Product Standards
  • Environmental Standards
  • Consumer Protection
  • Intellectual Property Protection of Plant Varieties and Geographical Indications

Chapter 5. Policy Coherence between OECD Country Development Assistance Policies and Agricultural Trade and Development

  • Trends in Overall Aid
  • Trends in Agricultural Aid
  • Trade-Related Assistance
  • Food Aid
  • Donor Country Coordination and Aid Effectiveness

Chapter 6. Policy Coherence within Developing Countries

  • Coherent Incentives
  • Investment Trends in Agriculture
  • Other Complementary Policies

Chapter 7. Key Messages and Proposals for Further Work

  • Improving Policy Coherence
  • Improving the Knowledge Base

Annex A. Why is Agricultural Policy Still So Difficult to Reform?
Annex B. Extracts from Agricultural Policies in OECD Countries: Monitoring and Evaluation 2005
Annex C. Action for a Shared Development Agenda

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