The Agreement on Agriculture (AoA) was adopted to eliminate the illegitimate use of trade
distorting agricultural subsidies and thereby reduce and avoid the negative effects subsidies
have on global agricultural trade. However the AoA has been fashioned in a way that is
enabling developed countries to continue high levels of protectionism through subsidization
whilst many developing countries are facing severe and often damaging competition from imports
artificially cheapened through subsidies. The regulation of subsidies by the World Trade
Organisation (WTO) has been a highly sensitive issue. This is mainly due to the fear of
compromising on food security especially by developed countries. Developing countries have
suffered negatively from the subsidy programmes of developed countries which continue to
subsidize their agricultural sector. This position of developing countries in the global trade
system which has been described as weak has drawn criticism of the WTO namely that it does
not protect the interests of the weak developing nations but rather strengthens the interests
of the strong developed nations. The green box provisions which are specifically designed to
regulate payments that are considered trade neutral or minimally trade distorting have grossly
been manipulated by developed countries at the mercy of the AoA. Developed countries continue
to provide trade distorting subsidies under the guise of green box support. This is defeating
the aims and objectives of the AoA. The study examines the regulation of WTO agricultural
subsidies from the developing countries' perspective. It looks at the problems WTO member
states face with trade distorting subsidies but focuses more on the impact these have on
developing states. It scrutinizes the AoA's provisions regulating subsidies by adopting a
perspective to identify any loopholes or shortcomings which undermine the interests and
aspirations of developing countries. This is against the background that some of the provisions
of the AoA are lenient towards the needs of developed countries at the expense of developing
countries.
