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311. The Political Economy of Agricultural Trade Interventions in Africa

Author:
Robert H. Bates
Publication Date:
05-2008
Content Type:
Working Paper
Institution:
Weatherhead Center for International Affairs, Harvard University
Abstract:
This chapter explores the political economy of agricultural trade protection in Sub-Saharan Africa. Figure 1.1 portrays the impact of government intervention in support of agricultural and non-agricultural products by governments 1955-2005 in different regions of the globe. In devising these measures, World Bank researchers calculated for a sample of agricultural and non-agricultural commodities the degree to which government policies – tariffs, subsidies, or currency distortions -- led to a separation of domestic from world market prices. The measures represent un-weighted averages. When greater than 0, they indicate that government policies favor farming; when below, that their policies favor other sectors.
Topic:
Agriculture and International Trade and Finance
Political Geography:
Africa

312. Famine in North Korea Redux?

Author:
Stephan Haggard and Marcus Noland
Publication Date:
10-2008
Content Type:
Working Paper
Institution:
Peterson Institute for International Economics
Abstract:
In the 1990s, 600,000 to 1 million North Koreans, or about 3 to 5 percent of the precrisis population, perished in one of the worst famines of the 20th century.North Korea is once again poised on the brink of famine. Although the renewed provision of aid is likely to avert a disaster on the scale of the 1990s, hunger-related deaths are already occurring and a dynamic has been set in motion that will carry the crisis into 2009. North Korea is a complex humanitarian emergency characterized by highly imperfect information. This paper triangulates quantity and price evidence with direct observation to assess food insecurity in North Korea and its causes. We critique the widely cited UN figures and present original data on grain quantities and prices. These data demonstrate that for the first time since the 1990s famine, the aggregate grain balance has gone into deficit. Prices have also risen steeply. The reemergence of pathologies from the famine era is documented through direct observation. Although exogenous shocks have played a role, foreign and domestic policy choices have been key.
Topic:
Agriculture and Humanitarian Aid
Political Geography:
North Korea

313. Food Safety and Trade Liberalization in an Age of Globalization

Author:
Obijiofor Aginam and Christina Hansen
Publication Date:
09-2008
Content Type:
Policy Brief
Institution:
United Nations University
Abstract:
Consumer trust of food producers and the governments that regulate them is in notable decline throughout the world, due to frequent and recurring instances of food contamination. Yet consumer trust is pivotal in order to sustain the increasingly globalized nature of food production, processing, and distribution in the international trading relations of states. With an increasing population, rapid urbanization and rise of the middle class, the demand for processed food is increasing significantly, and thus presents inherent risks for food safety and sustainability. The challenge of ensuring effective global food safety standards is inexorably linked to the progressive trade liberalization agenda of the World Trade Organization (WTO). In a globalized world, food-borne outbreaks, like air-borne infectious diseases, disregard the geopolitical boundaries of sovereign states. Food products grown in one part of the world, because of advancements in food production trends and burgeoning international trade between states, are now easily transported to other regions of the world. International trade norms and policies often focus predominantly on traded goods and services, especially “Northern” access to “Southern” markets. Founded on the free trade agenda of market access, and driven by the principles of “National Treatment” and “Most Favoured Nation”, the international trading system—with nation-states as the dominant actors—is asymmetrical in nature. Very often, the international trading system does not effectively address the many fundamental and pressing issues related to environmental degradation, pesticide use and chemical dependency common in modern agricultural practices.
Topic:
Security, Agriculture, Globalization, and International Trade and Finance

314. Omens and Threats in the Doha Round: The Decline of Multilaterialism?

Author:
Daniel Drache and Marc D. Froese
Publication Date:
05-2008
Content Type:
Working Paper
Institution:
Institute on Globalization and the Human Condition, McMaster University
Abstract:
Faced with the lengthening shadow of the Doha Round of trade negotiations, scholars often point to the seven years it took negotiators to conclude the Uruguay Round. This paper argues that the negotiating deadlock in the Doha Round represents a transformative shift on the part of Member nations away from the current model of multi-platform, single-undertaking multilateralism and towards smaller negotiating platforms. We examine two dynamics that mark this round as qualitatively different from the Uruguay Round. First, new, highly vocal global trading powers such as India, China and Brazil have begun to use their market power to push for a trade deal that directly benefits the Global South. Second, the new rules for trade that were agreed to in the Uruguay Round had promised a reduction in non-tariff protectionism, but the continuing popularity of protectionist industrial policies has shown the developing world that greater access to northern markets might not be delivered at the World Trade Organization. The paper concludes with a discussion of trade multilateralism in historical context. This is not the first time the world has been faced with systemic changes in international economic relations. In the nineteenth and the early twentieth centuries, global trade broke down – first with the end of the British free trade system, and shortly thereafter with the catastrophic collapse of the interwar trading order. Nevertheless, this qualitative shift in the negotiating strategies of states need not be seen as a return to protectionism. The explosion of preferential regional agreements offers a number of new ways to address the social and political dimensions of economic integration.
Topic:
Agriculture, Globalization, International Organization, International Trade and Finance, Post Colonialism, Sovereignty, Treaties and Agreements, and World Trade Organization
Political Geography:
China and Brazil

315. Can We Eradicate Hunger?

Author:
Basudeb Guha-Khasnobis
Publication Date:
01-2008
Content Type:
Policy Brief
Institution:
United Nations University
Abstract:
World hunger is prevalent yet receives relatively less attention compared to poverty. The MDGs have taken a step to address this with the resolution of halving the number of starving people in the world by 2015. A substantial and sustainable reduction in hunger will also greatly improve the chances of meeting the MDGs related to poverty reduction, education, child mortality, maternal health, and disease. Hunger though is not a straightforward problem of producing enough to feed the world's population; it has many cross-cutting dimensions. This study addresses a combination of economic, social, and political perspectives, drawing upon academic research of the economic factors and the experiences of international organizations and civil society.
Topic:
Security, Agriculture, Development, and International Organization

316. India's Trade Policy Choices

Author:
Sherman Robinson, Sandra Polaski, Scott McDonald, Manoj Panda, and A. Ganesh-Kumar
Publication Date:
01-2008
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
India's economic growth has accelerated in recent years, and its share of world trade has expanded. These are welcome developments for the country and, given India's large share of the world's population, for the global economy. Yet, despite these recent positive trends, India faces daunting challenges and policy decisions if it is to maintain high economic growth rates, employ its burgeoning population, and raise incomes across the full range of households, skill levels, sectors, and regions. India remains the largest reservoir of poverty in the world. Its recent high growth has been driven mainly by its modern services sector, which accounts for only a small proportion of overall employment and household incomes. Its agricultural sector is in a deep crisis, whether measured by slow growth rates, persistent rural poverty, or widespread farmer suicides.
Topic:
Agriculture, Economics, International Trade and Finance, and Treaties and Agreements
Political Geography:
India

317. Globalization and Smallholders: The Adoption, Diffusion, and Welfare Impact of Non-traditional Export Crops in Guatemala

Author:
Paul Winters, Angeli Kirk, Benjamim Davis, and Calogero Carletto
Publication Date:
02-2008
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
As developing countries continue on the path of economic liberalization, there is a compelling need to ensure that the benefits of globalization reach poor rural communities. Increased commercialization of agriculture and diversification into nontraditional exports (NTXs) is one strategy that has often been advocated as a way for developing countries to use their comparative advantage in lower labor costs and to achieve growth in the agricultural sector. Given the predominantly rural nature of most developing countries and the preponderance of poor people in these areas, high-value agricultural production is considered the ideal mechanism to extend the benefits of globalization directly to the rural poor:1 Allowing poor farmers to shift into the export sector and take advantage of internationally demand driven prices that are higher relative to traditional crops may reduce inequality while fostering overall economic growth (Nissanke and Thorbecke 2007).
Topic:
Agriculture, Development, Globalization, International Trade and Finance, and Poverty
Political Geography:
Global Focus

318. Seeking Common Grounds: Analysis of the Draft Proposals for the International Coffee Agreement

Publication Date:
01-2007
Content Type:
Policy Brief
Institution:
Oxfam Publishing
Abstract:
The International Coffee Agreement (ICA) establishes the only dedicated intergovernmental forum for coffee-related matters: the International Coffee Organization (ICO). The ICO brings together various stakeholders—including coffeeimporting and coffee-exporting countries, the private sector, and nongovernmental organizations (NGOs)—to discuss, negotiate, and cooperate on shared strategies and policies regarding the global coffee economy.
Topic:
Agriculture, International Cooperation, International Trade and Finance, Markets, and Treaties and Agreements

319. Pricing Farmers out of Cotton: The costs of World Bank reforms in Mali

Publication Date:
03-2007
Content Type:
Policy Brief
Institution:
Oxfam Publishing
Abstract:
Mali is one of the world's poorest countries, with over two-thirds of the population – mostly in rural areas – living on less than a dollar a day. Mali is also the second largest cotton producer in sub-Saharan Africa after Burkina Faso. Cotton production is generally heralded as a success story in much of West and Central Africa, providing a critical development strategy for poor African countries such as Mali and enabling both governments and farm households to access income. The World Bank, International Monetary Fund (IMF), and the wider donor community have also recognised the importance of cotton in reducing poverty and supporting the country's economy. However, in recent years, much of this success has been undermined by depressed and volatile cotton prices, partly as the result of unchecked US subsidies, and the downward trend of commodity prices.
Topic:
Agriculture, International Organization, International Trade and Finance, Treaties and Agreements, and World Trade Organization
Political Geography:
Africa, United States, and Mali

320. What agenda now for agriculture? A response to the World Development Report 2008

Publication Date:
10-2007
Content Type:
Policy Brief
Institution:
Oxfam Publishing
Abstract:
After two decades of indefensible neglect, agriculture is back on the agenda. The World Bank's publication of the 'World Development Report 2008: Agriculture For Development' (hereafter WDR), the first WD R on agriculture since 1982, reflects this renewed interest in the sector's potential to reduce rural poverty and inequality.
Topic:
Agriculture, Development, and World Bank