Question : AGRICULTURE EXPORT AND DOMESTIC SUBSIDIES



(a) whether the developing countries led by India and Brazil have sought special and differential treatment for phasing out agriculture subsidies in the Mini-Ministerial Summit of WTO held at Egypt; and

(b) if so, the reaction of the Government?

Answer given by the minister

MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE (SHRI HUKUMDEO NARAYAN YADAV)

(a) & (b): In the on-going negotiations on the World Trade Organisation (WTO) Agreement on Agriculture India has sought, inter-alia substantial reduction in all forms of trade distorting domestic support by the developed countries and elimination of export subsidies except export subsidies provided by all developing countries to reduce their high cost of marketing, including handling, upgrading and other processing costs and cost of transport and freight permitted under the existing provisions of the WTO Agreement on Agriculture which would remain without reduction commitments. Brazil as a member of the Cairns Group (a group of major agriculture products` exporting developed and developing countries) has also sought substantial reduction in domestic support and export subsidies.

The negotiations are scheduled to be concluded by 1st January, 2005.