Liberalization of the agriculture trade in the WTO with the externalization of domestic supports

The article deals with the trade liberalization in the agricultural sector and a special attention is focused on the area of domestic supports. Through the history of the General Agreement on Tariffs and Trade (GATT), the agriculture has been a major issue of conflict. A change occurred at the end of Uruguay Round negotiations (1986–1993), when countries of the GATT established the World Trade Organization (WTO), and they signed multilateral trade agreements. One of them - the WTO Agriculture Agreement was a base for the start of the agricultural trade liberalization. In this article, there is a short description of this process and the last findings from the Doha Round (2001–up to now) are written here. Before this, the main methodological aspects are pointed out; that are connected with different definitions of domestic supports, methods of observation of the level of domestic supports, objects of reform processes etc. These methodological divergences can have the influence on different hypotheses. There is a special attention focused on the WTO definition and its reform process in the agricultural sector in the area of domestic supports. At the end, there is shown how did the agricultural trade develop from 1985 to 2005 in the world.