This paper compares and contrasts how innovation—the successful introduction of new products, services, or techniques—is occurring in biotechnology seeds in China and India. We begin with an overview of the agricultural challenges faced by China and India and the substantial investments that both countries are making in agricultural research and development (R&D) and biotechnology to address these challenges. We next describe each country’s approach to three factors identified by industry as important to innovation in biotech seeds: market access, intellectual property (IP) protection, and efficient regulatory review processes. We find substantial problems in all three areas including limited market access for foreign firms in China and significant price caps in India; limitations and gaps in IP protection and enforcement; and lengthy delays in regulatory review. We conclude with a case study highlighting how the three factors shaped the introduction and adoption of the first widely commercialized biotech crop in China and India, Bt cotton.

This paper examines the issue of export taxes on primary commodities; almost 40 countries applied export taxes in recent years. The case of Argentina, which is a prominent user of the export tax and a leading exporter of soybean products, is then considered. In 2006, it taxed exports of soybeans, soybean meal and soybean oil, respectively, at 23.5 percent, 19.3 percent, and 20 percent. We simulate the effects of altering these taxes. Removing export taxes on soybean oil and meal, but continuing the tax on soybeans causes exports of meal and oil to rise and exports of soybeans to fall. Exports of each product increase when taxed uniformly at 10 percent. Removal of the taxes on all products increases exports of each product. Devaluation of the Argentinean peso by about 60 percent in 2002 likely affected these exports more than the changes in the export tax that were considered.

This article covers major events in the long-standing dispute between the United States and Mexico regarding bilateral sugar and nonsugar sweetener trade. It discusses the rulings of the World Trade Organization (WTO) in disputes between the two countries regarding the antidumping duties Mexico levied on its nonsugar sweetener imports from the United States (1997-2001), and the taxes Mexico subsequently levied on the sale of products containing such sweeteners (2002-2006). In both disputes the WTO ruled in favor of the United States. These WTO rulings, as well as changes in the supply and demand of sugar and other sweeteners that began taking place in the second half of 2005 helped create the conditions that led to a bilateral agreement on sugar and nonsugar sweeteners in July 2006.

The article also charts U.S. exports of nonsugar sweetener HTS 1702.60 in 1997-2005 to Canada and Mexico. It illustrates how Mexico’s import-restraining actions substantially reduced U.S. sales of nonsugar sweeteners to their market in 2002-2004, and reduced overall U.S. exports of this commodity.