Which of the following statements about the Dunkel draft is/are correct ? I. It is mandatory for the Government of India to accept all its proposals in all the sectors. II. In the field of agriculture, the main proposal is to cut agricultural subsidies. III. In the field of textiles, it reiterates the operation of the multifibre agreement. IV. The proposals have already been accepted by the Parliament. Select the correct answer from the codes given below. Codes :

The correct answer is B) I and II only.

The Dunkel Draft, compiled by Arthur Dunkel in 1991, laid the foundation for the establishment of the World Trade Organization (WTO). Here is an analysis of the given statements:

• Statement I is correct: The Dunkel Draft introduced the "Single Undertaking" approach. This meant that the entire package of agreements (including TRIPS, TRIMs, Services, and Agriculture) was a "take-it-or-leave-it" deal. Member countries, including India, could not cherry-pick which agreements to adopt; it was mandatory to accept all proposals across all sectors.
• Statement II is correct: In the agricultural sector, the primary proposals focused on reducing trade-distorting government interventions by cutting agricultural subsidies (such as the Aggregate Measure of Support) and increasing market access.
• Statement III is incorrect: Rather than reiterating the Multifibre Arrangement (MFA), the Dunkel Draft proposed phasing out the MFA over a 10-year transition period to fully integrate the textiles sector into regular GATT rules.
• Statement IV is incorrect: In India, the signing and ratification of international treaties is an executive action. The treaty did not require, nor did it receive, formal prior acceptance by the Parliament before the government signed the Marrakesh Agreement.