GS PrelimsAgricultureFarm Subsidy2016

In the context of which of the following -do you sometimes-find the terms 'amber box, blue box and green box' in the news?

A

WTO affairs

B

SAARC affairs

C

UNFCCC affairs

D

India-EU negotiations on FTA

Correct Answer: Option A

Explanation

1. The terms 'amber box', 'blue box', and 'green box' are specific classifications used within the framework of the World Trade Organization (WTO), particularly concerning the Agreement on Agriculture (AoA). 2. These classifications categorize domestic subsidies provided by member countries based on their potential to distort international trade: - Amber Box: Includes trade-distorting domestic support measures subject to reduction commitments. - Blue Box: Covers subsidies linked to production-limiting programs, which are less trade-distorting than amber box measures. - Green Box: Comprises subsidies considered minimally or non-trade-distorting, such as support for research or environmental protection, which are exempt from reduction commitments. 3. These terms are central to negotiations and disputes resolution under WTO affairs related to agriculture. 4. The other options are incorrect contexts: SAARC deals with regional cooperation in South Asia, UNFCCC addresses climate change, and India-EU FTA negotiations concern bilateral trade agreements.

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