SA agricultural support is below the average

Support levels vary enormously among OECD countries, between 2008 and 2010, for example, New Zealand support to farm receipts was only 1% of farm income, while the United States (9%), Israel and Mexico (12%), and Canada (16%) were also below the OECD average. At the other end of the scale, support to farmers remains relatively high in Korea (47%), Iceland (48%), Japan (49%), Switzerland (56%) and Norway (60%).

Farm support in emerging countries is generally well below OECD levels. In South Africa, the report finds, the level of price distortions has been low and in current years domestic prices were almost aligned to world price levels. Most of the budgetary payments, says the report, are related to the implementation of land reform and assistance to emerging farmers - "[t]he black population in rural areas is the target of land redistribution, but adequate supporting infrastructure and human capital formation must also be in place if these new entrepreneurs are to survive."

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