Agri-Environment and Rural Development in the Doha Round

The document analyzes sustainable agriculture practices in the EU, USA, Canada, and Japan, focusing on 'Green Box' measures that are minimally trade-distorting. It examines the tension in the Doha Round between 'ambitious' net-food exporters seeking stricter limits on subsidies and 'cautious' or 'special consideration' groups advocating for flexibility to address non-trade concerns (NTCs) like food security and rural development. The author suggests that developing countries should push for a 'Development Box' and maintain Green Box access to protect small farmers and the environment while transitioning to open markets.

• The European Union's Common Agricultural Policy (CAP) utilizes a 'second pillar' exclusively for rural development and agri-environment, with measures such as agri-environment, early retirement, and afforestation all notified under the WTO Green Box.
• The United States focuses its agricultural environmental policy on converting erodible cropland to conservation uses, reconverting farmland to wetlands, and cost-sharing for practices that reduce environmental problems, including programs like the Wetlands Reserve Program (WRP) and Environmental Quality Incentives Program (EQIP).
• Canada implements the Canadian Adaptation and Rural Development (CARD) program, which includes the Agricultural Environmental Stewardship Initiative (AESI) targeting soil health, biodiversity, and greenhouse gas emissions.
• Japan's agri-environmental policies emphasize reducing fertilizer and pesticide use, improving soil quality via composting, and providing direct payments to farmers in hilly and mountainous areas to prevent land abandonment.
• In the Doha Round, three main negotiation blocs have emerged: a 'cautious group' (EU, Japan, Norway) promoting non-trade concerns (NTCs), an 'ambitious camp' (Cairns Group, US) seeking significant trade liberalization and Green Box caps, and a 'special consideration group' (Like-Minded and African Groups) demanding flexibility for food security and rural development.
• The Like-Minded Group (LMG) proposes a 'Development Box' for developing countries to protect low-income and resource-poor (LI/RP) farmers and food security crops (FSCs), allowing exemptions from reduction commitments and the use of simplified safeguard mechanisms.
• The Cairns Group proposes tightening Green Box rules by capping overall spending on direct payments and requiring that environmental program payments be less than the extra costs of compliance and not based on production volume.
• The author identifies three likely negotiation scenarios: 1) a deal between ambitious and special consideration camps cutting general support but keeping developing-country flexibilities; 2) a coalition between cautious and special consideration groups expanding flexibilities for all; or 3) a compromise involving cuts to Amber Box and export subsidies while leaving the Green Box largely uncapped but clarified.
• Developing countries are advised to pursue four specific negotiation positions: creating a Development Box, maintaining current Green Box applicability, increasing de minimis thresholds, and renewing the peace clause to exclude Development Box and Green Box measures from actionability.

APA

Werth, A. (2002). Agri-Environment and Rural Development in the Doha Round. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/tkn_ruraldev_doha.pdf

Chicago

Werth, Alexander. Agri-Environment and Rural Development in the Doha Round. International Institute for Sustainable Development, 2002. https://www.iisd.org/system/files/publications/tkn_ruraldev_doha.pdf.

Wikipedia

{{cite report |last1=Werth |first1=Alexander |title=Agri-Environment and Rural Development in the Doha Round |publisher=International Institute for Sustainable Development |date=August 2002 |url=https://www.iisd.org/system/files/publications/tkn_ruraldev_doha.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{werth2002agrienvironment, author = {Werth, Alexander}, title = {{Agri-Environment and Rural Development in the Doha Round}}, institution = {International Institute for Sustainable Development}, year = {2002}, month = aug, url = {https://www.iisd.org/system/files/publications/tkn_ruraldev_doha.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }