Daily Current Affairs Questions & Answers (31 October 2019)
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Why is India not agreeing to the WTO trade facilitation agreement
Why is India not agreeing to the WTO trade facilitation agreement India has made its stance clear that it will not easily give in to pressure from the Western world over trade protocols of the World Trade Organisation, as was also discussed during the talks in Bali in December 2013. India fears that agreeing to the trade facilitation agreement (TFA) could compromise its own food security. What is the TFA? The TFA aims to fast track any movement of goods among countries by cutting down bureaucratic obligations. The problem with TFA runs in a clause that says farm subsidies cannot be more than 10 percent of the value of agricultural production. If the cap is breached, other members can challenge it and also go on to impose trade sanctions on the country. The developing countries would have a problem with the solutions offered by the developed countries as without the subsidies the food security of the developing nations could be seriously harmed. India agreed to th...