Percent Change in Average Global Market Prices by Commodity in Two Agricultural Trade-Reform Scenarios
| Commodity | Percent change in TFA scenario | Percent change in tariff-removal scenario |
|---|---|---|
| Fruits and vegetables | ||
| Processed foods | ||
| Rice | ||
| Wheat |
Ratified in 2017 by two-thirds of World Trade Organization member nations, the Trade Facilitation Agreement (TFA) is a trade-reform measure that aims to reduce redundant customs procedures and other costly aspects of international trade. In a 2021 report, economist Jayson Beckman modeled global market prices of several agricultural commodities under both the TFA and an alternative trade-reform scenario: removal of agricultural tariffs (taxes on imports that generally increase prices on imported goods). After reviewing data from the report, a student concludes that overall, consumers of the commodities listed in the table would likely benefit more from the TFA than they would from tariff removal.