WTO to Set Up Dispute Panel Against India

Published on July 17, 2019
Current context: Brazil has sought WTO to establish a dispute panel against India’s sugar subsidies to farmers.
 WTO to Set Up Dispute Panel Against India
  • Brazil has alleged that, India has increased its domestic support regime for sugar and sugarcane farmers
  • The domestic support mandates domestic sugar mills to pay the fair and remunerative price to sugarcane farmers
  • Brazil has claimed that the fair and remunerative price for sugarcane has almost doubled from Rs 1,391.2 per tonne in 2010-11 to Rs 2,750 per tonne in 2018-19
  • Brazil has alleged that, India has drastically increased the domestic support in the recent years
  • Brazil is the largest exporter and producer of sugar in the world
  • In February, Brazil and other countries including Guatemala and Australia have dragged India into the WTO’s dispute settlement mechanism
  • The countries alleged that India’s sugar subsidies to farmers are inconsistent with global trade rules
  • The countries have filed the dispute under WTO’s Agreement on Agriculture, the General Agreement on Tariffs and Trade 1994 and Agreement on Subsidies and Countervailing Measures

Question: 

India has been recently called up by Brazil for a WTO dispute settlement mechanism in the concern of____?
a. Rice production and export
b. MSP given to maize farmers
c. Subsidies given to sugarcane farmers
d. Subsidies given to millet farmers

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