Agriculture: Governments should renew efforts to reform farm support (Bild: OECD)
Relatively little of the current policy mix in most countries targets agricultural productivity growth and the sustainable use of land, water and biodiversity resources, writes the OECD.
The report also highlights large variations in support for different commodities, both within and across countries. This can result in significant price support for some products, while others are artificially depressed, and contributes to distortions in international markets.“Governments can support farm households and rural communities without negative effects on global markets,” said OECD Director for Trade and Agriculture Ken Ash.
“By removing the link between support and farm production decisions, and investing instead in needed public services, governments can build an enabling environment in which farmers have the freedom to make business decisions in response to evolving market opportunities at home and abroad. At the same time farm policy should be better targeted, improving access to technologies that will drive both productivity growth and sustainable resource use,” Mr Ash said..
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