The World Trade Organization (WTO) agreement on agriculture upsc is a topic that has been gaining attention in recent years. This agreement is an important one for the agricultural sector worldwide as it helps to maintain trade balance between countries. In this article, we will discuss the key points of the agreement, its impact on the agricultural sector, and how it affects the Indian economy.
The WTO Agreement on Agriculture
The WTO agreement on agriculture was signed in 1994 as part of the Uruguay Round negotiations. The agreement aimed to liberalize trade in agriculture by reducing trade barriers such as tariffs and subsidies. The agreement has three main pillars:
1. Market Access: The agreement aims to increase market access for agricultural products by reducing tariffs and non-tariff barriers such as quotas and import licensing requirements.
2. Domestic Support: The agreement aims to reduce domestic support to farmers in the form of subsidies. This is done to create a level playing field for farmers in different countries.
3. Export Subsidies: The agreement aims to eliminate export subsidies as they distort trade by unfairly promoting the export of certain agricultural products.
Impact on the Agricultural Sector
The WTO agreement on agriculture has had a significant impact on the agricultural sector worldwide. The reduction of tariffs and non-tariff barriers has led to an increase in trade in agricultural products, which has benefited both exporting and importing countries. The reduction of domestic support has also led to a more level playing field between farmers in different countries. However, the elimination of export subsidies has been a more difficult task, as some countries have been resistant to change.
Impact on the Indian Economy
The WTO agreement on agriculture has had a mixed impact on the Indian economy. While the reduction of tariffs and non-tariff barriers has led to an increase in Indian agricultural exports, the reduction of domestic support has negatively impacted Indian farmers. The Indian government has been providing subsidies to farmers for a long time, and reducing these subsidies has led to protests by farmers. The Indian government has also been struggling to eliminate export subsidies as some of its competitors, such as the US and the EU, have been reluctant to eliminate their own subsidies.
Conclusion
The WTO agreement on agriculture upsc is an important agreement that has led to an increase in trade in agricultural products worldwide. While it has had a positive impact on most countries, some countries, including India, have been negatively impacted. The WTO agreement on agriculture remains a contentious issue, particularly with regard to the elimination of export subsidies. However, it remains an important agreement that promotes fair trade in the agricultural sector.