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          Greenhouse Gas Reduction Policies and Agriculture: Implications for Production Incentives and International Trade Disciplines (English)
          Report by Blandford, David; Josling, Tim/ICTSD, 2009, 32 pages
          Categories: Trade and Environment, WTO Issues/Multilateral Trading System

          Climate change and the instruments of policy that are emerging as a response to that phenomenon pose a multitude of challenges to the multilateral trade system. Both are likely to have an impact on agricultural production. There is also a potential for conflict with World Trade Organization (WTO) trade rules, both through the choice of policy instruments to address climate change and through the way in which governments react to pressures to avoid or deflect the costs of climate change mitigation and adaptation. We assess the implications of domestic policies designed to reduce greenhouse gas (GHG) emissions from agriculture and to enhance the role of agriculture in GHG mitigation in the context of existing and future WTO disciplines. The following types of policies are examined: (1) performance standards, (2) best-practice requirements, (3) subsidies, (4) carbon taxes, (5) cap and trade (CT) schemes and (6) public expenditure for research and extension.

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