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State Trading Enterprises: Some Legal and Conceptual Issues
Author(s) -
McCorriston Steve,
MacLaren Donald
Publication year - 2001
Publication title -
canadian journal of agricultural economics/revue canadienne d'agroeconomie
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.505
H-Index - 37
eISSN - 1744-7976
pISSN - 0008-3976
DOI - 10.1111/j.1744-7976.2001.tb00316.x
Subject(s) - premise , negotiation , competition (biology) , liberalization , business , state (computer science) , market access , alternative trading system , international trade , industrial organization , international economics , imperfect competition , economics , algorithmic trading , agriculture , market economy , microeconomics , finance , political science , ecology , philosophy , linguistics , algorithm , computer science , law , biology
State trading may become an important issue in the current WTO negotiations on agricultural trade as witnessed by some of the recent proposals for negotiating agendas. On the premise that state trading enterprises can hinder market access in importing countries and can affect export competition, it has been proposed that state trading enterprises should be pan of the negotiations. We consider the current status of state trading enterprises in the GATT framework and summarize the list of concerns relating to the effects which they may have on agricultural trade. Drawing on some recent research, we show that state trading enterprises are likely to influence market access and export competition under trade liberalization when measured relative to a benchmark of imperfect competition.