Agricultural trade liberalisation and domestic market reforms in Indian agriculture

close-up of a brown cow in a pasture with cows in the background
Project code
AUD 60,555
Project leader
Professor Sisira Jayasuriya
Commissioned organisation
The University of Melbourne
JAN 2005
JUN 2008
Project status
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This project aimed to examine the nature and impact of interventions in selected agricultural markets, to analyse marketing system constraints, to identify, evaluate and quantify the impact of domestic market and international trade policy reforms and, to develop and disseminate appropriate policy recommendations.

With a particular focus on the interaction of trade liberalisation (reforms at the 'border') with internal ('behind the border') reforms, the project was conceived and designed to contribute to the policy challenge of devising reforms to improve efficiency in Indian agricultural markets consistent with major national goals of achieving sustainable improvements in rural incomes, poverty alleviation and food security.

Project outcomes

  • Reviewed the main institutional and regulatory interventions in selected agricultural sectors, including a detailed review of state trading enterprises and other relevant marketing bodies, and analyse the extent to which they alter prices, production, consumption, trade and efficiency.
  • Analysed marketing system constraints in selected agricultural sectors and their impacts on prices, production, income, consumption, trade and efficiency.
  • Identified, evaluated and quantified the impact of domestic market and international trade policy reform options on agricultural prices, production, income, consumption, trade and efficiency through the development of suitable industry-specific and an economywide models.
  • Disseminated policy recommendations for more efficient markets to key stakeholders.
Key partners
Exeter University, Australia
Indira Gandhi Institute of Development Research, India
La Trobe University
Monash University, Australia
National Centre for Agricultural Economics and Policy Research, India
National Council of Applied Economics Research (NACER), India
NSW Department of Primary Industries, Australia
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Final report ADP/2002/089