The economic impact of imports on the Australian pig industry: is it time for the WTO’s safeguard measures? 1. Replicating and updating the 2008 Productivity Commission analyses

Abstract

It is now 25 years since pig meat imports were first allowed into Australia. Pig producers have argued that import liberalization has caused the decline in the domestic production of pig meat and in the profitability of pig production. In its most recent Inquiry report in 2008, the Productivity Commission (PC) concluded that the main reason for the declining profitability of pig farmers in Australia was the higher costs of feed in the domestic market. Movements of the Australian dollar were also found to favour increased imports of pig meat. Based on analyses conducted with data up to 2007, the PC was unable to justify the need for Australia to activate the safeguard measures prescribed unde..