New SIDBI Grade A New Batch Starts on Nov 18

    Register

    Question

    Read the below passage and attempt the following questions (Q no 5 to 8). India is close to resolving its most contentious trade dispute, involving information communications technology (ICT) products, with its second largest trade partner, the European Union (EU), a senior government official said. This comes on the heels of India settling all seven trade disputes at the World Trade Organization (WTO) with its largest trade partner, the US. Brussels had dragged New Delhi to the WTO’s dispute settlement mechanism in 2019 challenging its levying of import duty on a wide range of ICT products including mobile phones and components, base stations, integrated circuits and optical instruments claiming that the duty was inconsistent with global trade norms and was hurting €600 million worth of its tech exports to India. The dispute assumes significance as it was feared to affect India’s efforts to boost electronic products manufacturing — a strategic sector in which India is trying to cut its reliance on China. An adverse final ruling could have also meant disruption of the flagship production-led incentive (PLI) scheme due to the rolling back of duties.

    Which of the following is the highest decision making body in the World Trade Organisation?

    A General Council Correct Answer Incorrect Answer
    B Ministerial Conference Correct Answer Incorrect Answer
    C Council for Goods & Trade Correct Answer Incorrect Answer
    D Trade Negotiations Committee Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    The WTO’s top-level decision-making body is the Ministerial Conference, which usually meets every two years. Below this is the General Council (normally ambassadors and heads of delegation in Geneva, and sometimes officials sent from members’ capitals), which meets several times a year in the Geneva headquarters. The General Council also meets as the Trade Policy Review Body and the Dispute Settlement Body. At the next level, the Goods Council, Services Council and Intellectual Property (TRIPS) Council report to the General Council. Numerous specialized committees, working groups and working parties deal with the individual agreements and other areas such as the environment, development, membership applications and regional trade agreements. All WTO members may participate in all councils and committees, with the exceptions of the Appellate Body, Dispute Settlement panels and plurilateral committees.

    Practice Next