Which Types of Policies Have OECD Countries Been Implementing?

Table 3.1 shows the range of policy instruments that are within the green growth policy toolkit, while Fig. 3.4 shows the steady decrease in support that is potentially most environmentally harmful—basically, with a shift from production-linked and input support towards support for environmental service provision and support conditional on respecting beneficial environmental practices.

Table 3.1. G reen growth toolkit for food and agriculture

Green growth policies

Environmental regulations and standards

Enact and enforce controls on excessive use of agrochemicals and fertilisers in production

Strengthen rules and standards for water, soil quality, and land management

Improve enforcement of environmental regulations and standards and certification from the farm gate to the retail sector

Support measures

Decouple farm support from commodity production levels and prices

Remunerate provision of environmental public goods (such as biodiversity, carbon sequestration, and flood and drought control) beyond reference level and closely targeted to environmental outcomes

Target environmental outcomes where feasible, otherwise target production practices favourable to the environment

Target public investments in green technologies

Economic instruments

Price inputs to reflect scarcity value of natural resources

Impose charges/taxes on use of environmentally damaging inputs

Implement trading schemes for water rights and carbon emissions

Address policy constraints (governance etc.) in less developed economies

Trade measures

Lower tariff and non-tariff barriers on food and agriculture products bearing in mind the potential impact on environmental concerns such as biodiversity and sustainable resource use Eliminate export subsidies and restrictions on agricultural products

Support well-functioning input and output markets

Research and development

Increase public research on sustainable food and agricultural systems

Promote private agricultural R&D through grants and tax credits

Undertake public/private partnerships for green agricultural research



Allocate more development aid for environmentally sustainable initiatives, in food and agriculture


Table 3.1. (continued)

Green growth policies

Information, education, and advice

Raise profile of agriculture in Poverty Reduction Strategies

Allocate more funding for agriculture in Aid for Trade projects

Increase public awareness for more sustainable patterns of consumption training such as via eco-labelling and certification

Incorporate sustainable approaches in training, education, and advice programmes throughout the entire food chain

Source: OECD (2013), Policy Instruments to Support Green Growth in Agriculture, OECD Green Growth Studies, OECD Publishing, Paris. doi: 10.1787/9789264203525-en.

Evolution of producer support in OECD countries by potential environmental impact. Source

Fig. 3.4 Evolution of producer support in OECD countries by potential environmental impact. Source: OECD Database, 2015

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