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WTO and India: India Invokes Peace Clause of WTO for Third Time

Policies which amount to domestic support at less than 5% of the value of production for developed countries and less than 10% for developing countries also excluded from any reduction commitments.

Posted byparag Published On April 5th, 2022 Leave a comment on WTO and India: India Invokes Peace Clause of WTO for Third Time
WTO and India: India Invokes Peace Clause of WTO for Third Time_30.1

 

Peace clause UPSC: Relevance

  • GS 3: Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests.

 

WTO and India: Context

  • Recently, India has invoked for the third time the peace clause as the 10% cap has been exceeded on support to rice farmers.

 

India invokes peace clause: Key points

  • India informed WTO that the value of its rice production in 2020-21 was $45.56 billion while it gave subsidies worth $6.9 billion, which comes out to 14% as against the permitted 10%.
  • The WTO’s peace clause protects India’s food procurement programmes against action from WTO members in case the subsidy ceilings are breached.

विश्व व्यापार संगठन एवं भारत: भारत ने तीसरी बार विश्व व्यापार संगठन के शांति खंड का आह्वान किया