how are the developing countries treated differently in agre

Solution

WTO is the global institutions that guides, directs and handle trade relations among countries. It provides set of rules for different agreements related to trade taking place between coutries be it bilateral or multilateral agreement.

The agreement on agriculture (AoA) of WTO provides various rules pertaining to trade in agriculture among the member countries. Under its provision it has provided space for special treatment to developing countries in the trade whose agriculture sectors are backwards. Such concessions are known as special and differential treatment box (S&DT). It majorly includes the followings -

1) investment subsidies to developing countries like tractors and pump sets to farmers.

2) agricultural input services like fertilizers to farmers of low income countries

3) Domestic support to producers in developing countries

4) 10% de minimis ceiling

Other differential treatments include -

1) Export subsidies reduced by 14% in developing countries as compared to 21% by developed countries in volume.

2)  Export subsidies reduced by 24% in developing countries as compared to 36% by developed countries in expenditure.

3) developing countries are aloowed to include policies additional to AoA policies such as investment and input subsidies.