Food Subsidies Policy Research In China Under The WTO Framework

Food is the necessaries of life residents and the foundation of all human activities, especially for our country with a population of1.4billion large economies, food problem is crucial, the food problem is not only refers to food supply and demand balance of food security, but also a matter of farmers’income, it’s about the urban and rural dual economic structure adjustment and the important task of building a harmonious society. Since China’s WTO accession, border protection degree is reduced, increase of import quotas and import and export tariff rate drop, at the same time China’s commitment to give up the export subsidies on food products, and other developed countries while promising to cut food subsidies are increase food subsidies, pose a threat to food security and farmers’ income in our country, at present our country face the unfair international food subsidies environment. In order to deal with parts of food subsidies policy to our country food security and the threat of increasing farmers’income, under the WTO framework for China’s long-term application of food subsidies policy is particularly important.This paper attempts to illustrate the theoretical basis of food subsidies policy, China’s WTO accession commitments under the WTO framework and accession to China’s grain subsidies, scale and the effect through the study of major foreign countries under the WTO framework grain subsidy way and effect, and compare the gap of food subsidies policy at home and abroad, found the shortage of food subsidies policy in our country, summarizes the enlightenment to our country food subsidies policy, and then set a feasible for food subsidies policy goal and direction, build a flexible regulation mechanism of food supply and the agriculture income protection mechanism, it has important significance to our country food security and farmers’income.This paper proposed policy recommendations of food subsidies under the WTO framework:First, setting up food subsidies policy in accordance with the WTO rules, make good use of from cuts "green box" policy, improve the structure of subsidies; To ensure national food security, we should make full use of "yellow box" policy at the present stage; Perfect food subsidies policy and try to "blue box" subsidies, we need to cut the "yellow box" into a "blue box". Second, perfect the system of food subsidies, subsidies system reform direction is to establish the "financial powers and responsibilities" matching system of food subsidies as clearly defined as possible. Third, strengthen the legal regulatory constraints, perfect the supervision of funds. Fourth, the optimization of China’s grain subsidies, such as grain insurance subsidies, food and agriculture loan subsidies and rural grain reserves subsidies.