This study focuses on the comparison of agricultural tariff structure by
major countries in WTO negotiations and the effects of tariff reduction by
various tariff cut methods.
Tariff peak, tariff dispersion and tariff escalation problems are reviewed
and evaluated extensively. Prohibitively high rates of tariff remain even in
exporting countries.
The distribution of the tariff rates is uneven, both among commodities and
among countries. Trade distortive tariff escalation is dominant in developed
countries.
Formula approach gives rise to deeper tariff cut effects and mitigates the
problem of tariff peak, tariff dispersion and tariff escalation. In the case of
Korea, the tariff reduction rate will be 84.5 percent by the Swiss formula and
79.3 percent by the Canada formula.
