Costa Rica: Authorities and Rice Producers Analyze Rice Subsidy

The parties created a working group to come up with a solution to the conflict generated by rice subsidies.

Monday, October 11, 2010

The problem arose by questioning submitted to the World Trade Organization (WTO) from 35 countries.

La Nacion, reports on their website, "The basic point of the problem is the price of the grain. This is the only product which price continues to be set by law."

Although at this moment, no lawsuits have been presented, the Ministry of Foreign Trade said the claims may be indicative of potential lawsuits.

More on this topic

Costa Rica: Rice Subsidy Only benefits Large Producers

May 2012

In Costa Rica, the current mechanism mainly benefits 30 large producers, who received $80 million in subsidies in 2011.

Despite warnings from the WTO, Costa Rica continues to subsidize rice production, a benefit which actually goes to about 30 large companies, rather than groups of small producers, and is "an unnecessary risk" according to the former Foreign Trade Minister Alberto Trejos, who added that "it is like going to the Country Club in Escazú to hand out Family Allowance resources."

Costa Rica: $104 million in Rice Subsidies in 2011

May 2012

In the last 5 years the pricing system in force has transferred more than $390 million from the pockets of consumers to rice producers.

A statement of the Ministry of Commerce reads:

Rice sector subsidies in excess of $100 million for the second year

San Jose, May 8th, 2012.

Price of Rice Reduced for Costa Rican Producers

October 2010

The Ministry of Economy signed a decree to reduce the price of rice to domestic producers.

The Minister of Agriculture and Livestock (MAG), Gloria Abraham, announced the decree without giving further details on pricing.

La Nacion, on its website, includes comments from the minister: "The price of rice paid by the industry to producers has been set at ¢ 24,315 per 73.6 kilos bag since 2008, ...

Controversy Over Rice Subsidy

October 2010

The multimillion dollar figures which Costa Rica spends on protecting rice production has sparked controversy between critics of the system and producers.

The issue was exposed to the public when a group of countries complained before the World Trade Organization (WTO) (see

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