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Q10 (IAS/1994) Economy › External Sector & Trade › World Trade Organization Answer Verified

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 :

Result
Your answer: —  Â·  Correct: B
Explanation

The Dunkel Draft was a negotiating text compiled as the basis for the final Uruguay Round agreement, not an instrument that made it mandatory for India to accept all proposals; it was tabled for further negotiation and adoption by member states [1]. The agriculture provisions in the Dunkel text drew criticism because they sought disciplines on domestic support and export subsidies, effectively pressuring reductions in certain agricultural subsidies — this is the principal agricultural concern raised in critiques [2]. On textiles, the draft led toward phasing out the Multifibre Arrangement rather than reiterating its continued operation. The Dunkel proposals were not already accepted by the Indian Parliament. Thus only statement II is supported by the sources; because none of the given options list II alone, selection 2 is chosen but requires manual review.

Sources

  1. [1] https://www.wto.org/english/thewto_e/whatis_e/tif_e/fact5_e.htm
  2. [2] https://www.marxists.org/subject/india/apcccr/janashakti/1-6.pdf
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