The cuts in agricultural subsidies and protection agreed during the Uruguay round. Only the figures for the reduction of export subsidies appear in the agreement. The agreement allows governments to support their rural economies, but preferably through a policy that results in less trade distortions. It also allows for some flexibility in the implementation of commitments. Developing countries do not need to reduce their subsidies or tariffs as much as industrialized countries, and they are given extra time to meet their commitments. The least developed countries do not have to do so at all. Specific provisions address the interests of countries that depend on imports for their food supply and the concerns of less developed economies. The agricultural agreement prohibits export subsidies for agricultural products unless subsidies are on a list of commitments. Where mentioned, the agreement requires WTO members to reduce both the money supply they spend on export subsidies and the amount of exports that receive subsidies. Taking into account the 1986-1990 averages as a baseline, industrialized countries agreed to reduce the value of export subsidies by 36% over the six years from 1995 (24% over 10 years for developing countries). Industrialised countries have also agreed to reduce subsidized exports by 21% over the past six years (14% on a 10-year value for developing countries). The least developed countries do not need to make reductions. Measures with minimal impact on trade can be used freely, they are in a green box (green as for traffic lights).
These include public services such as research, disease control, infrastructure and food security. These include direct payments to farmers that do not stimulate production, such as some forms of direct income support, aid to help farmers restructure agriculture, and direct payments under environmental assistance and regional assistance programmes. For products whose non-tariff restrictions have been converted to tariffs, governments are allowed to take emergency measures (special safeguards) to prevent rapid price falls or increased imports from harming their farmers. However, the agreement specifies when and how these emergency measures can be introduced (for example. B they cannot be used for imports as part of a tariff quota). For imports covered by the tariff quota (up to 1,000 tonnes), the calculation is generally 10%. For imports that are not subject to a tariff quota, 80% are charged. Under the Uruguay Round Agreement, the 1,000 tonnes would be based on actual imports during the reference period or on an agreed minimum access formula.