UPSC Prelims 2010 Q15: Indian Economy – International Trade & WTO
In the context of the affairs
of which of the following is the phrase “Special Safeguard Mechanisms” mentioned in the news
frequently ?
- (a) United Nations Environment Programme
- (b) World Trade Organisation
- (c) ASEAN - India Free Trade Agreement
- (d) G - 20 Summits
Answer: (b) World Trade Organisation
Explanation
Where "Special Safeguard Mechanisms" is a recurring term
This phrase is closely tied to international trade negotiations over agricultural protection.
| Option | Verdict | Reason |
|---|---|---|
| (a) United Nations Environment Programme | Incorrect | UNEP deals with environmental issues, unrelated to trade safeguard mechanisms |
| (b) World Trade Organisation | Correct | Special Safeguard Mechanisms (SSM) is a specific WTO Doha Round negotiating tool, letting developing countries temporarily raise tariffs to counter import surges/price falls in agriculture |
| (c) ASEAN-India Free Trade Agreement | Incorrect | While trade-related, SSM as a specific term is associated with the broader multilateral WTO negotiations, not this bilateral FTA |
| (d) G-20 Summits | Incorrect | G-20 discussions are broader macroeconomic forums, not the specific home of the SSM term |
Special Safeguard Mechanism (SSM):
| Point | Detail |
|---|---|
| Forum | WTO, Doha Development Round agricultural negotiations |
| Purpose | Let developing countries raise tariffs temporarily against import surges/price crashes |
| India's stance | Strongly advocated for SSM to protect farmers |
Answer: (b) World Trade Organisation.
Why each option is right or wrong
- (a) Incorrect. UNEP is an environmental body, unrelated to trade safeguard negotiations.
- (b) CORRECT. SSM is a specific negotiating mechanism within the WTO's Doha Round agricultural talks.
- (c) Incorrect. The term is tied to the multilateral WTO context, not specifically this bilateral FTA.
- (d) Incorrect. G-20 summits are broader macroeconomic forums, not the specific home of this term.
Key point
'Special Safeguard Mechanism' is a WTO Doha Round term, letting developing countries temporarily raise agricultural tariffs against import surges or price crashes.
Remember
Special Safeguard Mechanisms: a WTO Doha Round tool letting developing countries raise agricultural tariffs against import surges.
Common mistakes
- Confusing the WTO's multilateral SSM negotiations with bilateral trade agreements like ASEAN-India FTA.
- Associating a trade-specific term with unrelated bodies like UNEP or G-20.
- Not knowing India's strong advocacy role for SSM in the Doha Round talks.
Exam tip
'Special Safeguard Mechanism' = WTO Doha Round agricultural trade term. A frequently tested specific phrase-to-forum pairing.
Sources
- World Trade Organization — Doha Development Agenda: negotiations on agriculture (Special Safeguard Mechanism)
- World Trade Organization — Hong Kong Ministerial Declaration (December 2005), Annex A: Agriculture