Organisation for Economic Co-operation and Development
Agricultural support is defined as the annual monetary value of gross transfers to agriculture from consumers and taxpayers arising from government policies that support agriculture, regardless of their objectives and economic impacts. This indicator includes the total support estimate (TSE), measured as a percentage of GDP, the producer support estimate (PSE), measured as a percentage of gross farm receipts, the consumer support estimate (CSE), measured as a percentage of agricultural consumption, and the general services support estimate (GSSE), measured as a percentage of total support. Agricultural support is also expressed in monetary terms, in million USD and million EUR. TSE transfers represent the total support granted to the agricultural sector, and consist of producer support (PSE), consumer support (CSE) and general services support (GSSE). PSE transfers to agricultural producers are measured at the farm gate level and comprise market price support, budgetary payments and the cost of revenue foregone. CSE transfers from consumers of agricultural commodities are measured at the farm gate level. If negative, the CSE measures the burden (implicit tax) on consumers through market price support (higher prices), that more than offsets consumer subsidies that lower prices to consumers. GSSE transfers are linked to measures creating enabling conditions for the primary agricultural sector through development of private or public services, institutions and infrastructure. GSSE include policies where primary agriculture is the main beneficiary, but does not include any payments to individual producers. GSSE transfers do not directly alter producer receipts or costs or consumption expenditure.
