PRODUCER AND CONSUMER SUBSIDIES IN AGRICULTURE: THE CASE OF TURKEY IN RELATION TO OECD COUNTRIES

This paper analyzes the trends in producer and consumer subsidies in\nTurkish Agriculture over the 1979-90 period. The support in agriculture is\nsummarized using the concepts of Producer Subsidy Equivalent (PSE) and\nConsumer Subsidy Equivalent (CSE) developed by OECD. The PSE and\nCSE calculations for Turkey include 14 crops and livestock products. The\nestimated PSE's and CSE's for Turkey are compared with those in OECD\nCountries and among themselves. The findings show that on the overall,\nover the studied period, both producer and consumer subsidies implied by\nagricultural policy were substantially below those in other OECD\nCountries, The changes in subsidies between the 1979-90 period in Turkey\nfollowed the trends in subsidies in other OECD countries and interestingly\nalso were in line with the political calendar in Turkey. Furthermore, both\nproducer and consumer subsidies showed significant variations among the\nvarious agricultural commodities considered.