Brief

How Can World Trade Organization Rules and Flexibilities Promote Food Security in Least Developed Countries?

Least developed countries (LDCs) need more investment in agriculture to increase their agricultural productivity and promote their food security. Existing World Trade Organization (WTO) rules and flexibilities on agricultural domestic support can help. New WTO rules and flexibilities can also help LDCs attract more private investment to increase their agricultural productivity and promote their food security.

By Facundo Calvo on October 29, 2024
  • LDCs need more investment in agriculture to increase their agricultural productivity and promote their food security.

  • WTO rules on agricultural domestic support provide policy space for LDCs to invest in their agricultural productivity.

  • New WTO rules and flexibilities on agricultural domestic support can help LDCs attract more private investment in agriculture to increase their agricultural productivity and promote their food security.

LDCs need more investment in agriculture to increase their agricultural productivity and promote their food security. Existing WTO rules and flexibilities on agricultural domestic support provide policy space for LDCs to increase public investment in agriculture under the Agreement on Agriculture's Article 6.2 (Development Box), the Green Box, and, subject to limits, the Amber Box.

New WTO rules and flexibilities on agricultural domestic support could help LDCs attract more private investment in agriculture by making agriculture in LDCs more profitable and attractive to potential investors. These can include commitments by developed and large developing country WTO members to reduce Amber Box trade-distorting domestic support to food and agricultural products of interest to LDCs (e.g., cotton, rice), either because they are exported or produced by them. Additionally, improving LDCs’ access to international agri-food markets can boost exports and incomes in these countries.

Brief details

Topic
Food and Agriculture
Trade
Project
Fair and Sustainable Trade in Food and Agriculture
Publisher
IISD
Copyright
IISD, 2024