Agricultural Policy Monitoring and Evaluation 2022
Reforming Agricultural Policies for Climate Change Mitigation
This annual report monitors and evaluates agricultural policies in 54 countries, including the 38 OECD countries, the five non-OECD EU Member States, and 11 emerging economies. It finds that the continued rise in agricultural support has been slower than sector growth in recent years, but has been driven to record highs mainly by temporary factors. The share of general services to the sector (including innovation and infrastructure) in total support provided to the sector has decreased to 13%. This year’s report focuses on the potential for agriculture and agricultural policies to contribute to climate change mitigation. It argues that short-term agricultural policy responses to global crises must simultaneously address current challenges and support reforms to combat climate change and distortions in international markets.
Also available in: French
Viet Nam
Support to Viet Nam’s agricultural sector fluctuates between low and negative levels depending on changes in market price support (MPS). In 2019-21, Viet Nam’s producer support estimate (PSE) was -7.7%, implying implicit overall taxation compared to the positive level of support of 6.4% in 2000‑02. MPS varies across commodities. Producers of import-competing commodities, such as maize, sugar cane and beef, benefit from tariff protection, while producers of pig and poultry meats, pepper, coffee, tea, and rubber are implicitly taxed. Effective prices received by farmers were 7% lower on average than world prices during 2019-21, though there were large differences between commodities. Rice producers benefit from domestic price support measures that seek to provide rice farmers with a 30% profit on their average production cost. However even with these measures, the price received by farmers in recent years was lower than the export reference price, resulting in a negative MPS. Budgetary transfers to producers are relatively small and dominated by payments based on variable input use – primarily expenditure to offset the irrigation fee exemption.
Also available in: French