Agriculture Market Access after Cancun

The Draft Cancun Ministerial Text, or Derbez Text, leaned heavily on the joint EC-US framework paper on Agriculture which argued for a formula approach with respect to market access pillar. The main objective of this study is to simulate results based on alternate formula submitted to the WTO. Our results show that the developing countries are being squeezed to provide better market access to the developed countries’ agricultural produce. For example, India will have to reduce her average bound tariff in agriculture anywhere in the range 45-83 per cent depending on the blended combination of the formula (suggested for core modality) and the chosen value of "B" coefficient (for the Swiss element) in the blend formula. A draft paper was first presented at a conference organized by Centre for SAARC Studies, Andhra University, on 27-28 March 2004 in Vishakapatnam in collaboration with RIS. A revised version will be issued in Discussion Paper Series.

Research Team: Dr. Rajesh Mehta and Dr. J. George