1. Agricultural Subsidies By Developed Countries: its pros and cons Presentation on 24/09/2008 by: Probal Mojumder ISI, Kolkata

3. Agricultural subsidies are largely present in developed nations Source: Yale Center for Environmental Law and Policy, CEISIN North America gives highest farm subsidies and scores low in EPI

4. Expenditure on agricultural subsidies have increased over the years – Examples India’s annual outlays towards agricultural subsidies more than $12 billon Source: Economic Survey, Government of India; Gulati, Ashok & S Narayanan, The Subsidy Syndrome in Indian Agriculture, Oxford University Press, New Delhi, 2003 Expenditure towards agricultural subsidies in India $ billion years 14% increase European Union’s share of spending towards agricultural subsidies is significant Source: Chris Edwards, Budget & Tax News > February 2007; The Heartland Institute 44% EU expenditure is on agriculture $12 bl

5. Subsidies reduce world prices and affect export dependent, developing nations World cotton prices have fallen over the years US cotton subsidies are comparable to GDP of some cotton exporting countries, 2003 Source: International Cotton Advisory Committee; Cotlook Limited Average monthly world cotton price Source: Environmental Working Groups, 2005; World Resources, 2005 $ bl 25000 farmers get $2.5 bl 4 ml people get $1 bl US Cotton subsidies and GDP of others

6. Subsidies given by developed countries benefit large farmers rather than small farmers Percentage of agricultural subsidies given out to the largest 25% of farms Source: WTO Annual Report, 2003 US gives 89% of its subsidies to large farms