China’s WTO accession - Agriculture and Food Security in China - page 60

Table 3.2 China's TRQ system for selected agricultural products ('000

metrc tonnes)

Products Initial TRQ 2004 TRQ In-quota duty Private share

(per cent) (per cent)

Cotton 734 894 1 67

Wheat 7,300 9,636 1-10* 10

Corn 4,500 7,200 1-10* From 25 to 40

Rice 2,670 5,320 1-10* 50 and 10**

Soybean oil 1,718 3,261*** 9 From 50 to 90

Notes: * 1 per cent of duty for gran and no more than 10 per cent for partally processed
gran products.
** 50 per cent of duty for short and medum gran rce; 10 per cent for long gran rce.
*** TRQ will be phased out by the year 2006.
Source: China Trade Relations Working Group, US Government, 15 February 2000.

Second, China agrees not to use export subsidies for agricultural
products after t jons the WTO. Chna also commts to cap and reduce
trade-dstortng domestc subsdes. Although a serous dspute occurred
over the upper-limit level of the subsidy, final agreement was reached in
June 2001 that total trade-dstortng domestc subsdes for agrculture
under the title of 'Amber Box' would not exceed 8.5 per cent of China's
agrcultural GDP.
Third, China commits to abide fully by the terms of the WTO Agreement
on Sanitary and Phytosanitary Measures, which requires that all animal, plant,
and human health import requirements are based on sound science, not on
the bass of a poltcal agenda or protectonsm concerns. On the bass of ths
commitment, China and the United States agreed bilaterally the terms for the
removal of the restrictions on importation of US wheat, citrus, and meat.

Growth of China's economy and agriculture: the setting for the
impact assessment

To gve an assessment of the mpact of further openng up of Chna's
agricultural sector, it is necessary to have a look at the background to
China's recent economic growth and structural changes, especially with
respect to ts agrcultural and rural sector.