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The WTO Agreement on Agriculture and Tropical Commodities: A Study in the Context of South India

Author

Listed:
  • K. N. Harilal

    (Associate Professor, Centre for Development Studies, Thiruvananthapuram, harilal@cds.ac.in)

  • V. Dhanya

    (Assistant Adviser, Reserve Bank of India)

Abstract

This paper examines the globalisation of agriculture as reflected in the Agreement on Agriculture (AoA) and preferential trade agreements on trade in selected tropical commodities. The paper examines tariff rates under the ASEAN-India Free Trade Agreement (AIFTA) and finds a reduction in rates for several commodities in relation to WTO bound rates. The fall in tariff rates reduces the ability of a country to check price falls and price volatility. In a period of fragmentation of land holdings, atomisation of farming, and weakening of the bargaining power of producers, state intervention has encouraged competition among producers at the upstream end and limited competition at the downstream end. Evidence for this is provided by calculating intra-industry trade indices for India and rest of the world for natural rubber and related products. The paper argues that commodity problems cannot be addressed without changes in policy and cooperation among commodity producing countries.

Suggested Citation

  • K. N. Harilal & V. Dhanya, 2015. "The WTO Agreement on Agriculture and Tropical Commodities: A Study in the Context of South India," Journal, Review of Agrarian Studies, vol. 5(1), pages 39-60, January-J.
    • Handle: RePEc:fas:journl:v:5:y:2015:i:1:p:39-60
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    Citations

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    Cited by:

    1. Johnson, Deepak, 2018. "Cropping Pattern Changes in Kerala, 1956–57 to 2016–17," Review of Agrarian Studies, Foundation for Agrarian Studies, vol. 8(1), July.
    2. Kumar B, Dr Pradeep Kumar B & Abraham, Dr.M P Abraham, 2021. "Leading Issues and challenges in the Agriculture Sector of Kerala," MPRA Paper 108759, University Library of Munich, Germany.

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