A component of agricultural policy in Chile is the use of price bands to stabilize domestic price movements in selected agricultural crops and processed agricultural commodities. In the 1990s, the use of price bands for wheat, fats and oils, and sugar resulted in the equivalent of roughly a 22 percent tariff on these commodities. Depending on the result of pending discussions with the WTO following a complaint by Argentina and of ongoing discussions regarding Chile’s participation in the North American Free Trade Agreement, constraints could be imposed on Chile’s use of price bands to protect its agricultural economy.
Attribution-NonCommercial-NoDerivs 3.0 Chile
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