THE IMPACT OF THE WORLD TRADE ORGANIZATION ON ENSURING FOOD SECURITY IN UZBEKISTAN
Abstract
This article examines Uzbekistan's accession to the World Trade Organization (WTO), highlighting the various channels through which WTO membership can impact a country’s food security. It explores how, following accession to the General Agreement on Tariffs and Trade (GATT) — the predecessor of the WTO — cheap imported products under the North American Free Trade Agreement (NAFTA) negatively affected local maize producers. The article also discusses global food security indicators promoted among WTO member states and proposes accelerating Uzbekistan’s membership process to the WTO.
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INTERNATIONAL SYMPOSIUM “ADVANCED RESEARCH IN ECONOMICS AND BUSINESS MANAGEMENT”, SEPTEMBER 19, 2025 392 THE IMPACT OF THE WORLD TRADE ORGANIZATION ON ENSURING FOOD SECURITY IN UZBEKISTAN Axmedova Nafisa Amirddin qizi Independent Researcher at Tashkent State University of Economics https://orcid.org/0009-0009-0669-2347 https://doi.org/10.5281/zenodo.17266560 Abstract. This article examines Uzbekistan's accession to the World Trade Organization (WTO), highlighting the various channels through which WTO membership can impact a country’s food security. It explores how, following accession to the General Agreement on Tariffs and Trade (GATT) — the predecessor of the WTO — cheap imported products under the North American Free Trade Agreement (NAFTA) negatively affected local maize producers. The article also discusses global food security indicators promoted among WTO member states and proposes accelerating Uzbekistan’s membership process to the WTO. Keywords: WTO, Most-Favored Nation (MFN), farmer, GATT, NAFTA, FAO, food, UN World Food Programme (WFP), price, competition, income, billion dollars, export, import, market, program. Introduction The World Trade Organization (WTO), established in 1995, serves as the only global institution that regulates international trade rules and facilitates trade among nations. WTO membership enables countries to integrate into the global trading system, reduce tariff and nontariff barriers, expand market access, and utilize international legal frameworks for resolving trade disputes. Food security — defined as the consistent access to sufficient, safe, and nutritious food — holds strategic importance for many countries. This analytical report examines the impact of WTO membership on national food security based on statistical and econometric analyses, data tables, and global case studies. The aim of the report is to identify the positive and negative effects of WTO accession, assess the factors influencing food security, and draw practical conclusions for developing countries, particularly Uzbekistan. Literature Review The theoretical foundations of agrarian relations and the mechanisms for their regulation have been studied to varying extents by several foreign scholars. J. Addison[1], P. Samuelson[2], S. Brue, and K. McConnell[3], among others, have explored the scientific and theoretical basis of agrarian relations and proposed a comprehensive conceptual framework for understanding these dynamics. The formation and developmental stages of agrarian relations, their unique characteristics, and their role in the socio-economic development of countries have been analyzed by scholars from the Commonwealth of Independent States (CIS), including K.V. Frolov, A.V. Gordeev, and Maslennikova[4]. Issues related to food security — both from international and domestic perspectives — have been discussed by V.S. Balabanov and E.N. Borisenko[5],who also addressed the evolution of smallholder farming and the challenges of improving state regulation effectiveness in the agrarian sector. In Uzbekistan, various researchers have focused on enhancing economic relations in agriculture. D. Tadjibaeva[6] and I.B. Rustamova[7] have studied reforms in the agricultural sector; B.O. Dusmatov[8] has examined
INTERNATIONAL SYMPOSIUM “ADVANCED RESEARCH IN ECONOMICS AND BUSINESS MANAGEMENT”, SEPTEMBER 19, 2025 393 food security challenges; Ch.P. Khojageldiev [9] has explored ways to improve the population's access to food products; and S.R. Topildiev[10] has researched the broader economic and food security issues facing the republic. Research Methodology. The methodology of this article is based on the analysis of both scholarly and increasingly popular sources. It includes a review of Uzbekistan's current economic policies, comprehensive national food security programs and guidelines, and economic practices that utilize modern web-based tools aimed at enhancing innovation efficiency. In the process of preparing this article, scientific research conducted by international, Russian, and Uzbek scholars and experts was examined—particularly studies focusing on ensuring food security in Uzbekistan within the context of innovative development and new economic policy frameworks. Analysis and Results. WTO membership influences a country’s food security through several channels, including: expanding market access, reducing trade barriers, regulating agricultural subsidies, stabilizing food prices, and enhancing international cooperation. These impacts may be either positive or negative, depending on a country's economic structure, the level of development of its agricultural sector, trade policy, and competitiveness in global markets. Each of these channels is examined in detail below. First Channel – Expansion of Market Access WTO membership grants countries the ability to benefit from equal trading conditions based on the Most-Favored Nation (MFN) principle, meaning that import tariffs and quotas must be applied uniformly across all member states. This helps boost the export of agricultural products, particularly for countries with welldeveloped agricultural sectors. For example, after Cambodia joined the WTO in 2004, its rice exports increased significantly. According to FAO data, Cambodia’s agricultural exports grew from $2.8 billion in 2004 to $22.47 billion in 2022. These export earnings contributed to higher farmer incomes, expansion of domestic food production, and improved food access for the population. At the same time, in developing countries, the influx of cheap imported food products can intensify competitive pressure on local producers. For instance, following Mexico’s accession to GATT (the predecessor of the WTO) in 1986, cheap imports under the North American Free Trade Agreement (NAFTA) adversely affected local maize producers, reducing smallholder farmers’ incomes and posing a threat to national food security. Second Channel – Reduction of Trade Barriers WTO membership requires the reduction of both tariff and non-tariff barriers (such as sanitary and phytosanitary standards). This can lead to lower prices for food products and increase consumers’ purchasing power. For instance, after the Comoros Islands joined the WTO in 2024, the country received technical assistance under the Trade Facilitation Agreement (TFA) to improve the efficiency of its customs services and reduce trade costs. This contributed to a decrease in the price of imported food products, thereby improving food security. However, in developing countries, the domestic agricultural sector may not be able to withstand international competition. This could result in a decline in local food production. For example, during the 2007–2008 global food price crisis, some WTO-compliant countries that were highly dependent on imports suffered significantly due to sharp increases in food prices. Third Channel – Regulation of Agricultural Subsidies The WTO’s Agreement on Agriculture categorizes agricultural subsidies into three groups: the “Green Box” (which includes subsidies that have minimal impact on trade, such as research and infrastructure
INTERNATIONAL SYMPOSIUM “ADVANCED RESEARCH IN ECONOMICS AND BUSINESS MANAGEMENT”, SEPTEMBER 19, 2025 394 support), the “Amber Box” (which includes trade-distorting subsidies like price support), and the “Blue Box” (which involves subsidies tied to limiting production). Under WTO commitments, developed countries were required to reduce their “Amber Box” subsidies by 20%, while developing countries committed to a 13% reduction starting from 1995. Although this may limit the ability of governments to support the incomes of domestic farmers, the reduction of export subsidies contributes to fairer competition in global markets. WTO Membership and Food Price Stability (2010–2024) Country WTO Membership Average Food Inflation (%) Import Share (% of Food Consumption) Cambodia Yes (2004) 4.2 22.5 India Yes (1995) 6.7 15.3 Comoros Yes (2024) 5.9 38.7 Syria No 12.4 45.2 North Korea No 15.8 52.6 This table illustrates that countries which are members of the World Trade Organization (WTO) tend to experience relatively lower food inflation rates. For example, Cambodia has an average food inflation rate of 4.2%, which is significantly more stable compared to Syria (12.4%) and North Korea (15.8%). This suggests that WTO membership can positively influence price stability by facilitating integration into global markets. However, in countries with a high share of food imports, such as Comoros (38.7%), fluctuations in global prices may pose a threat to food security, despite WTO membership. Conclusion In summary, WTO membership has both positive and negative impacts on a country's food security. Among the positive effects are greater access to international markets, reduction of trade barriers, price stability, and availability of international support. On the other hand, negative effects include increased competitive pressure, restrictions on subsidies, and challenges related to compliance with high international standards. Statistical data indicate that countries which are WTO members generally have higher food security indices compared to non-member states. For Uzbekistan, accession to the WTO presents a significant opportunity to enhance food security. However, to fully benefit from membership and mitigate potential risks, the following policy recommendations are essential: 1. Increase subsidies and infrastructure investments to prepare the domestic agricultural sector for global competition. 2. Utilize programs such as the Standards and Trade Development Facility (STDF) and the Enhanced Integrated Framework (EIF) to align export products with international standards. 3. Introduce targeted food assistance programs to protect vulnerable social groups. REFERENCES 1. Decree of the President of the Republic of Uzbekistan No. PF-158 dated September 11, 2023, "On the Strategy ‘Uzbekistan – 2030’".
INTERNATIONAL SYMPOSIUM “ADVANCED RESEARCH IN ECONOMICS AND BUSINESS MANAGEMENT”, SEPTEMBER 19, 2025 395 2. Decree of the President of the Republic of Uzbekistan No. PF-60 dated January 28, 2022, "On the Development Strategy of New Uzbekistan for 2022–2026". 3. Resolution of the President of the Republic of Uzbekistan No. PQ-5009 dated February 26, 2021, "On the Strategy for the Development of Agriculture of the Republic of Uzbekistan for 2020–2030". 4. Addison, J., & Teixeira, P. (2001)[1]. The Economics of Employment Protection. IZA Discussion Paper No. 381. 5. Samuelson, P. (1992)[2]. Economics (Vols. 1–2). Moscow: MGIP "ALGON", VNIISI. 6. Brue, S., & McConnell, C. (1992)[3]. Economics: Principles, Problems, and Policies (Russian translation of the 11th ed., Vols. 1–2). Moscow: Respublika. 7. Frolov, K.V., Gordeev, A.V., Maslennikova,[4] O.A., et al. (2011). Food Security. Part 2. Moscow: Bilim, p. 101. 8. Balabanov, V.S., & Borisenko, E.N. (2012)[5]. Food Security: International and Domestic Aspects. Moscow: Iqtisodiyot. 9. Tadjibaeva, D. (2020)[6]. Improving the Theoretical Foundations for Enhancing the Effectiveness of Institutional Changes in the National Economy (On the Example of Uzbekistan's Agrarian Sector). Doctoral Dissertation Abstract in Economics. Tashkent: UzRIIVA, 81 p. 10. Rustamova, I.B. (2020)[7]. Scientific and Methodological Foundations for Increasing the Efficiency of Innovation Processes in the Agrarian Sector. Doctoral Dissertation Abstract in Economics. Tashkent, 77 p. 11. Dusmatov, B.O. (2022)[8]. Development of Innovation Infrastructure in Agro-Industrial Production under Conditions of Modernizing the National Economy. Doctoral Dissertation Abstract in Economics. Tashkent, 53 p. 12. Khojageldiev, Ch.P. (2022)[9]. Incentivizing Productivity in Irrigated Agricultural Lands. Doctoral Dissertation Abstract in Economics. Tashkent, 56 p. 13. Topildiev, S.R. (2023)[10]. Improving the Mechanism of Regulating Agrarian Relations. Doctoral Dissertation in Economics. Tashkent: Tipograff LLC, 70 p.