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Issue paper

Climate change and rice economy in Asia: Implications for trade policy. Background paper for The State of Agricultural Commodity Markets (SOCO) 2018

The present study analyses rice economy in Asia in the context of climate change. Major rice producing and trading countries are included in the analysis. The main focus of the study is on the existing policy framework in these major countries, with particular focus on the role of trade policy in adapting to and mitigating the adverse impacts of climate change on the rice economy. Initial results suggest that Asian countries – both importing and exporting- have intensified efforts to attain self-sufficiency through domestic production in recent years, particularly after the world food crisis in 2008. This is because of the perceived non- reliability of international market for sourcing supplies during emergencies. Therefore, there is a greater need for dovetailing trade policies in the region and refrain from disruptive policies such as sudden export bans. There are also other complementary policies of increasing cooperation - building regional reserves for emergencies, developing reliable early warning systems and propagating new technology and best practices.

Asia & Pacific
Policy Theme