FINISHING GLOBAL FARM TRADE REFORM

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This report was presented to the World Trade Ambassadors in Geneva in late 2016.The study reviews policy developments in recent years and, in the light of that, explores ways in which further consensus might be reached among WTO members to reduce farm trade distortions - and thereby also progress the multilateral trade reform agenda. Particular attention is given to ways that would boost well-being in developing countries, especially for those food-insecure households still suffering from poverty and hunger.The core message from this study is that open agricultural markets maximize the role that trade can play to boost developing country welfare and global food security and ensure the world's agricultural resources are used most sustainably. Declining costs of trading internationally reinforce that message, with thanks to the information and communication technology (ICT) revolution. As well, the WTO's Trade Facilitation Agreement, once ratified by members over coming months, will add to that lowering of trade costs. If global warming and extreme weather events 15 are to become more damaging to food production as climate change proceeds, that provides all the more reason for countries collectively to open up food markets to allow trade to encourage more production and buffer seasonal yield fluctuations. The more countries do that, the less volatile will be international food prices.