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The Breakdown of the Doha Round Negotiations – What Does it Mean for Dealing with Soaring Food Prices?

Year of publication 2008

Author David Hallam, Panos Konandreas, Jamie Morrison and Ramesh Sharma

Category Policy brief

Series title ES Policy Briefs Economic and Social Perspectives

Edition 1

Synopsis (short abstract) Summary of Key Points: • Current WTO rules have not prevented countries from using trade policies to mitigate the negative effects of soaring global food prices on domestic markets. However, imbalances in the rules may have resulted in inappropriate policy responses. • Reductions in tariffs applied to basic foods, which were generally fairly low to start with, have been ineffective in offsetting increases in food prices. By contrast, the widespread use of export restrictions has created unc ertainty over the reliability of world markets as a source of imports. • A functional instrument to operationalize the Marrakesh Decision would have been helpful to countries facing surges in food import bills. • The draft Modalities under negotiation in the Doha Round were unlikely to change this situation. However, the current impasse provides an opportunity for strengthening certain rules to promote more appropriate policy responses to future food crises.

Language English

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