Trade Liberalization: Analyzing Effects on the Agricultural Sector

This assignment is a discussion post analyzing the impact of trade liberalization on the agricultural sector. The post examines the arguments for and against free trade, including the effects of tariffs, market regulations, and globalization. The discussion includes viewpoints on the potential negative effects on farmers due to competition from imported goods and the importance of government support. It also considers the role of international contributions and how countries like Saudi Arabia are adapting to trade liberalization. The provided responses highlight the need for quality control of imported goods and the potential benefits of privatization, while also acknowledging potential risks. The discussion references several sources that provide further insights into the topic.

Reply 1: Albandary – Impact of Trade Liberalization on Agriculture
Hello,
It was really interesting to read your contributions on the impact of trade liberalization on the
agriculture sector and its overall negative effect on the farmers of a nation. It is right to say that trade
reforms are required to ensure that the quality of the products that are imported is up to the mark to
maintain the health standards. With trade liberalization, the agriculture sector within a nation might
face a high risk as the imported goods might take majority of the share in the market. Added support
from the government or restrictions on the import of certain specific goods is perceived to assist in
ensuring that trade liberalization has the minimum possible impact on the agriculture sector. A
calculation of the average gross production can be made to account for the added goods that might be
required to support the demand of the market and formulize a balance between imports and internal
manufacturing.
I found the pointers on the international contribution towards the sustenance of the agriculture to be
very informative as well. I was able to collect a lot of information and have a stronger understanding
of the subject with the knowledge and data that you have highlighted in the post. It is right to say that
the role of internationalization has affected the agriculture sector; however, it is in the hands of the
governments to offer added support to further strengthen the sector and establish a healthy
environment within the country. The example of Saudi Arabia is well established and further
constructions in the field have paved way for success in the country.
Reference:
Bureau, J., Guimbard, H. and Jean, S. (2018). Agricultural Trade Liberalization in the 21st Century:
Has It Done the Business? Journal of Agricultural Economics.
Reply 2:
Considering the exceptional progress that Saudi Arabia has shown in the world agricultural market,
there is high potential that the country would be able to showcase even better results by 2030. Today,
the need for uplifting the agricultural industry has become the need of the hour. Although the country
is unable to support the growing demand for food, it has been making considerable amount of efforts
to improve its home production of food and reduce the financial burden that is caused by imports.
Trade liberalization and privatization might reduce some pressure over the government; however, it

might not be able to provide the security and safety assurances. The environmental conditions from
where the imports are taken cannot be trusted upon. Thus, the efforts of the government towards the
agricultural development is ranked among the foremost achievements in the sector.
With the improvement in the internal policies of a government, it is estimated that any country like
Saudi Arabia can improvise the quality of the food that is made available to the population and
contribute largely towards the overall development of the agriculture sector. I read about many case
studies wherein the impact of internal conflict or poverty have led to an alarming decrease in the
overall production of food. Saudi Arabia is proving to be an example to follow in the direction
towards reestablishing the need for a constructive agriculture industry. The governmental support is
crucial in the path to achieve success, especially in the developing nations. Thank you for sharing
insight into the subject. I was able to collect a lot of information and learn.
Reference:
Silva, N. D., Malaga, J. and Johnson, J. (2014). Trade Liberalization Effects on Agricultural
Production Growth: The Case of Sri Lanka. Journal of Agricultural Economics and
Development. Vol 3(9). pp. 144 - 151.