Of concern here is the long term survival of the country. If we do not act now to reduce this massive bill, we will pay dearly for it in the near future. Subsidies should therefore only continue to be available to the needy.
However the aim of the removal of subsidies should not be solely to reduce the budget deficit. Removal of subsidies should be part of a comprehensive plan on national financial management whereby eliminating wastage and corruption also plays equally important roles.
Poor people have the right to benefit from trade. Poor countries must be able to choose economic policies, including trade policies that work to reduce poverty. They need the freedom to help support and protect their vulnerable enterprises and traders in the most appropriate way. These policies should not be based on the `advice' of the rich. They should be decided by the communities affected, based on evidence and experience and suited to the local context.
This is Trade justice – governments choosing and designing their own trade policies to reduce poverty.
It is now more important than ever that this situation be transformed.
The facts and arguments below will show you the ill effects of trade to those in the developing countries.