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  • 29th November 2021| Daily Answer Writing Enhancement(AWE)

    Topics for Today’s questions:

    GS-1     Indian culture will cover the salient aspects of art forms, literature and architecture from ancient to modern times

    GS-2    Issues Relating to Development and Management of Social Sector/Services relating to Health, Education, Human Resources.

    GS-3    Indian Economy

    GS-4    Attitude: Content, Structure, Function; its Influence and Relation with Thought and Behaviour; Moral and Political Attitudes; Social Influence and Persuasion.

    Questions:

    Question 1)

     

    Q.1 Elaborate on the evolution of pillar architecture in early history of India and explain how Ashokan pillar architecture was different from Persian pillar architecture. (15 Marks)

     

    Question 2)

    Q.2 How India’s taxation policies have affected the poor? Suggest the way forward. (10 Marks)

    Question 3)

    Q.3 The newly-created National Asset Reconstruction Company (NARCL) in the public sector offers hopes for the faster clean up of lenders’ balance sheets. In light of this, examine the scope of its success and challenges it may face in achieving its objectives. (10 Marks)

    Question 4)  

    Q.4 We are living in an era where success and happiness is measured by how much we accumulate. An attitude of contentment is an antidote to this tendency of consumerism. Do you agree with this idea of contentment? Substantiate your views. (10 Marks)

     

    HOW TO ATTEMPT ANSWERS IN DAILY ANSWER WRITING ENHANCEMENT(AWE)?

    1. Daily 4 questions from General studies 1, 2, 3, and 4 will be provided to you.

    2. A Mentor’s Comment will be available for all answers. This can be used as a guidance tool but we encourage you to write original answers.

    3. You can write your answer on an A4 sheet and scan/click pictures of the same.

    4.  Upload the scanned answer in the comment section of the same question.

    5. Along with the scanned answer, please share your Razor payment ID, so that paid members are given priority.

    6. If you upload the answer on the same day like the answer of 11th  October is uploaded on 11th October then your answer will be checked within 72 hours. Also, reviews will be in the order of submission- First come first serve basis

    7. If you are writing answers late, for example, 11th October is uploaded on 13th October, then these answers will be evaluated as per the mentor’s schedule.

    8. We encourage you to write answers on the same day. However, if you are uploading an answer late then tag the mentor like @Staff so that the mentor is notified about your answer.

    *In case your answer is not reviewed, reply to your answer saying *NOT CHECKED*. 

    For the philosophy of AWE and payment: 

  • Rethink for EWS Criteria

    The Union Government has decided to revisit the criteria set out for eligibility for its 10% reservation under the economically weaker sections (EWS) category within a month.

    Context

    • The decision came after the Supreme Court closely questioned it on how it arrived at the income figure.
    • The Supreme Court is considering a case to the implementation of 27% reservation for the Other Backward Classes and 10% for the EWS under the all-India quota for medical admissions.

    How was EWS reservation introduced?

    • The 10% reservation was introduced through the 103rd Constitution Amendment and enforced in January 2019.
    • It added Clause (6) to Article 15 to empower the Government to introduce special provisions for the EWS among citizens except those in the classes that already enjoy reservation.
    • It allows reservation in educational institutions, both public and private, whether aided or unaided, excluding those run by minority institutions, up to a maximum of 10%.
    • It also added Clause (6) to Article 16 to facilitate reservation in employment.
    • The new clauses make it clear that the EWS reservation will be in addition to the existing reservation.

    Significance of the quota

    • The Constitution initially allowed special provisions only for the socially and educationally backward classes.
    • The Government introduced the concept of EWS for a new class of affirmative action program for those not covered by or eligible for the community-based quotas.

    What are the criteria to identify the section?

    • The main criterion is that those above an annual income limit of ₹8 lakh are excluded.
    • It accounts income from all sources such as salary, business, agriculture and profession for the financial year prior to the application of the family, applicants, their parents, siblings and minor children.
    • Possession of any of these assets, too, can take a person outside the EWS pool:
    1. Five or more acres of agricultural land
    2. A residential flat of 1,000 sq.ft. and above
    3. A residential plot of 100 square yards and above in notified municipalities, and
    4. A residential plot of 200 square yards and above in other areas

    What are the court’s questions about the criteria?

    • Reduction within general category: The EWS quota remains a controversy as its critics say it reduces the size of the open category, besides breaching the 50% limit on the total reservation.
    • Arbitrariness over income limit: The court has been intrigued by the income limit being fixed at ₹8 lakh per year. It is the same figure for excluding the ‘creamy layer’ from OBC reservation benefits.
    • Socio-economic backwardness: A crucial difference is that those in the general category, to whom the EWS quota is applicable, do not suffer from social or educational backwardness, unlike those classified as the OBC.
    • Metropolitan criteria: There are other questions as to whether any exercise was undertaken to derive the exceptions such as why the flat criterion does not differentiate between metropolitan and non-metropolitan areas.
    • OBC like criteria: The question the court has raised is that when the OBC category is socially and educationally backward and, therefore, has additional impediments to overcome.
    • Not based on relevant data: In line with the Supreme Court’s known position that any reservation or norms for exclusion should be based on relevant data.

    What is the current status of the EWS quota?

    • The reservation for the EWS is being implemented by the Union Government for the second year now.
    • Recruitment test results show that the category has a lower cut-off mark than the OBC, a point that has upset the traditional beneficiaries of reservation based on caste.
    • The explanation is that only a small number of people are currently applying under the EWS category — one has to get an income certificate from the revenue authorities — and therefore the cut-off is low.
    • However, when the number picks up over time, the cut-off marks are expected to rise.

    Way forward

    • The per capita income or GDP in all States, or the difference in purchasing power in the rural and urban areas, should be taken into account while a single income limit was formulated for the whole country.

     

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  • UNCITRAL Model for Cross Border Insolvency

    The Ministry of Corporate Affairs (MCA) has published a draft framework for cross-border insolvency proceedings based on the UNCITRAL (United Nations Commission on International Trade Law) model under the Insolvency and Bankruptcy Code.

    About Insolvency and Bankruptcy Code (IBC)

    • The IBC, 2016 is the bankruptcy law of India that seeks to consolidate the existing framework by creating a single law for insolvency and bankruptcy.
    • It is a one-stop solution for resolving insolvencies which previously was a long process that did not offer an economically viable arrangement.
    • The code aims to protect the interests of small investors and make the process of doing business less cumbersome.

    Cross border insolvency proceedings

    • Cross-border insolvency proceedings are relevant for the resolution of distressed companies with assets and liabilities across multiple jurisdictions.
    • A framework for cross-border insolvency proceedings allows for the location of such a company’s foreign assets, the identification of creditors and their claims.
    • This helps establishing payment towards claims as well as a process for coordination between courts in different countries.

    Current status of foreign stakeholders and courts in other jurisdictions under IBC

    • While foreign creditors can make claims against a domestic company, the IBC currently does not allow for automatic recognition of any insolvency proceedings in other countries.
    • Current provisions under the IBC do not allow Indian courts to address the issue of foreign assets of a company being subjected to parallel insolvency proceedings in other jurisdictions.

    The UNCITRAL model

    • The UNCITRAL model is the most widely accepted legal framework to deal with cross-border insolvency issues.
    • It has been adopted by 49 countries, including the UK, the US, South Africa, South Korea and Singapore.
    • The law allows automatic recognition of foreign proceedings and rulings given by courts in cases where the foreign jurisdiction is adjudged.
    • Recognition of foreign proceedings and reliefs is left to the discretion of domestic courts when foreign proceedings are non-main proceedings.
    • The model law deals with four major principles of cross-border insolvency:
        • Direct access to foreign insolvency professionals and foreign creditors to participate in or commence domestic insolvency proceedings against a defaulting debtor.
        • Recognition of foreign proceedings & provision of remedies.
        • Cooperation between domestic and foreign courts & domestic and foreign insolvency practitioners.
        • Coordination between two or more concurrent insolvency proceedings in different countries. The main proceeding is determined by the concept of Centre of Main Interest (COMI).
          • The COMI for a company is determined based on where the company conducts its business on a regular basis and the location of its registered office.
      • It is designed to assist States in reforming and modernizing their laws on arbitral procedure so as to take into account the particular features and needs of international commercial arbitration.

    Issues with Indian framework

    • The framework for cross-border insolvency adopted in India may require reciprocity from any country which seeks to have its insolvency proceedings recognized by Indian courts.
    • This would allow Indian proceedings for foreign corporate debtors to be recognized in foreign jurisdictions.

    Back2Basics: UNCITRAL

    • It is an affiliate organization to the UN made up of business and legal professionals.
    • This group develops model standards and procedures for dealing with issues affecting international business.
    • Perhaps most notably, UNCITRAL promulgated the Convention on International Sale of Goods (CISG).
    • The CISG is a model law commonly used as the governing provisions in contracts between parties from different nations.

     

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  • Were there domestic horses in ancient India?

    A group of researchers has been able to collect bones and teeth samples of over 2,000 such ancient specimens from regions from where domestic horses could have originated.

    Research on horse domestication

    • The research has studied fossils from the Iberian Peninsula in the southwestern corner of Europe, or the western-most edge of Eurasia (Spain and its neighbours), Anatolia (modern Turkey), and the steppes of Western Eurasia and Central Asia.
    • These collective data have led them to decide that until about 4200 BCE, many distinct horse populations inhabited various regions of Eurasia.

    Key findings of the research

    • A similar genetic analysis has found that horses with the modern domestic DNA profile lived in the Western Eurasian Steppes, particularly the Volga-Don River region.
    • By around 2200–2000 BCE, these horses spread out to Bohemia (the Czech Republic of today and Ukraine), and Central Asia and Mongolia.
    • These horses were bred by breeders from these countries to sell them to countries that demanded them.
    • Riding on horses became popular in these nations by around 3300 BCE, and armies were built using them, for example, in Mesopotamia, Iran, Kuwait and the ‘Fertile Crescent’ or Palestine.
    • The first spoke-wheeled chariots emerged around 2000-1800 BC.

    Indian story

    • Horses were never native to India.
    • The only animals native to India were the Asian elephant, snow leopard, rhinoceros, Bengal tiger, Sloth bear, Himalayan wolf, Gaur bison, red panda, crocodile, and the birds peacock and flamingo.
    • Thus, it seems clear from these sources that horse is not native to India.
    • Horses must have come into India through inter-regional trading between countries.
    • Indians might have traded their elephants, tigers, monkeys, birds to their neighbours and imported horses.

    When did India get its horses?

    • Horse-related remains and artefacts have been found in Late Harappan sites (1900-1300 BCE).
    • Horses did not seem to have played an essential role in the Harappan civilization.
    • This is in contrast to the Vedic Period, which is a little later (1500-500 BCE).
    • The Sanskrit word for horse is Ashwa, which is mentioned in the Vedas and Hindu Scriptures.
    • These are roughly towards the end of the late Bronze Age.

    Try this PYQ:

    Q. With reference to the difference between the culture of Rigvedic Aryans and Indus Valley people, which of the following statements correct?

    1. Rigvedic Aryans used the coat of mail and helmet in warfare whereas the people of Indus Valley Civilization did not leave any evidence of using them.
    2. Rigvedic Aryans knew gold, silver and copper whereas Indus Valley people knew only copper and iron.
    3. Rigvedic Aryans had domesticated the horse whereas there is no evidence of Indus Valley people having been aware of this animal.

    Select the correct answer using the code given below:

    (a) Only 1

    (b) 2 and 3 only

    (c) 1 and 3 only

    (d) 1, 2 and 3

     

    [wpdiscuz-feedback id=”in2agsa14u” question=”Please leave a feedback on this” opened=”1″]Post your answers here.[/wpdiscuz-feedback]

     

     

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  • Good Samaritan Scheme

    The Good Samaritan scheme, meant to encourage and felicitate those helping road accident victims, has received a poor response from the states more than a month since its launch.

    Good Samaritan Scheme

    • The Road Transport and Highways Ministry announced this scheme so that taking a road crash victim to hospital is not just hassle-free but there is also the incentive of a reward and recognition.
    • Historically, Indians are reluctant in taking victims to hospital because of associated legal processes and investigations that follow.
    • To address that, the Centre inserted Section 134A in the Motor Vehicles (Amendment) Act, 2019, which deals with “Protection of Good Samaritans”.

    Need for such scheme

    • India witnesses around 5 lakh road accidents and 1.5 lakh deaths from them every year.
    • As per several government assessments and independent studies, a large number of deaths occur because the victims did not get medical help within the golden hour.

    Key features of the scheme

    • Non-liability: Under the scheme, a good samaritan will not be liable for any civil or criminal action for any injury to or death of the victim of an accident involving a motor vehicle.
    • Reward: The scheme entitles any person, who helps save a life by taking a road crash victim to the hospital during golden hour, to a reward of Rs 5,000 per accident.
    • Anonymity clause: The new law is that the “Good Samaritan” is free to not disclose their name to the hospital or law enforcement authorities; they can also choose not to take part in any legal process.

    Issues with the scheme

    Ans. Poor response from the states

    • Despite the Centre willing to give an initial grant of Rs 5 lakh for it, states have not even opened bank accounts to get the money.
    • The Ministry of Road Transport and Highways has sent several reminders to states to operationalize the scheme.

     

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  • What is Omicron Variant?

    A new lineage of SARS-CoV-2 has been designated as a Variant of Concern (VoC) by the World Health Organization (WHO) and has been named Omicron.

    Behind the name: Omicron

    • The WHO has been using Greek letters to refer to the most widely prevalent coronavirus variants, which otherwise carry long scientific names.
    • It had already used 12 letters of the Greek alphabet before the newest variant emerged in South Africa this week.
    • After Mu, the 12th named after a Greek letter, WHO selected the name Omicron, instead of Nu or Xi, the two letters between Mu and Omicron.
    • The WHO said Nu could have been confused with the word ‘new’ while Xi was not picked up following a convention.

    Why is the Omicron variant interesting?

    • The Omicron variant is interesting due to the fact that it has a large number of mutations compared to other prevalent variants circulating across the world.
    • This includes 32 mutations in the spike protein.
    • Many of these mutations lie in the receptor-binding domain of the spike protein, a key part of the protein required for binding to the human receptor proteins for entry into the cell.
    • It can thus play an important role in recognition by antibodies generated due to a previous infection or by vaccines.

    What do spike mutations do?

    • Many of the mutations in the spike protein have been previously suggested to cause resistance to antibodies as well as increased transmission.
    • Thus, there is a possibility that this variant could be more likely to re-infect people who have developed immunity against previous variants of the virus.
    • The behavior of the virus is not yet accurately predictable based on the evidence on individual mutations.

    Does the variant result in vaccine breakthrough infections?

    • Some of the initial individuals identified to be infected with the variant have been vaccinated for COVID-19 and therefore the variant can indeed cause vaccine breakthrough infections.
    • This should not be of concern, since the prevalent variants of concern including Delta have been shown to cause breakthrough infections.
    • Whether the variant causes more breakthrough infections than Delta is not currently known.

    How can we be prepared for the variant?

    • Enhanced surveillance and genome sequencing efforts are essential to detect and track the prevalence of the Omicron variant.
    • Rapid sharing of genome sequences of the virus and the epidemiological data linked with it to publicly available databases will help in developing a better understanding of the variant.
    • Existing public health and social measures need to be strengthened to control and prevent transmission.
    • Enhancing vaccination coverage across different regions along with access to testing, therapeutics and support will be essential for combating the new variant.
    • Equitable access to vaccines would be key to controlling the Omicron variant, and slowing down the emergence of any future variants.

     

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  • Jaitapur Nuclear Power Project

    If built on time, Jaitapur Project in Maharashtra would be the largest nuclear power generating station in the world by net generation capacity, at 9,900 MW.

    Jaitapur Nuclear Power Project

    • Jaitapur Project is a proposed nuclear power plant in India.
    • The power project is proposed by Nuclear Power Corporation of India (NPCIL) and would be built at Madban village of Ratnagiri district in Maharashtra.
    • It is being built with technical cooperation from France.

    Project description

    • It is proposed to construct 6 European Pressurized Reactors designed and developed by Framatome (former Areva) of France, each of 1650 MW, thus totaling 9900 MW.
    • These are the third generation pressurized water reactors (PWR).
    • The cost of building the plant is about ₹20 crore (US$2.7 million) per MW electric power compared with ₹5 crore (US$660,000) per MW electric power for a coal power station.
    • A consortium of French financial institutions will finance this project as a loan. Both French and Indian government will give sovereign guarantee for this loan.

    Issues with the project

    (I) Liability for nuclear damage

    • The lack of clarity on the Civil Liability for Nuclear Damage Bill 2010 passed in Indian Parliament in August 2010 is a hurdle in finalizing deal.
    • This Civil Liability for Nuclear Damage Bill 2010 has a clause that deals with the legal binding of the culpable groups in case of a nuclear accident.
    • It allows only the operator (NPCIL) to sue the manufacturers and suppliers. Victims will not be able to sue anyone.

    (II) Clearance issue

    • Environmental effects of nuclear power and geological issues have been raised by anti-nuclear activists of India against this power project.
    • Even though the Maharashtra state govt completed land acquisition in 2010, only few people had accepted compensation cheques.

    (III) Seismicity of the area

    • Since Jaitapur is a seismically sensitive area, the danger of an earthquake has been foremost on the minds of people.
    • According to the Earthquake hazard zoning of India, Jaitapur comes under Zone III. This zone is called the moderate Risk Zone and covers areas liable to MSK VIII.
    • The presence of two major creeks on the proposed site has been ignored while clearing the site.

    (IV) Nuclear waste disposal

    • It is not clear where the nuclear waste from the site will be shipped for recycling or removed for disposal.
    • The plant is estimated to generate 300 tonnes of used nuclear fuel each year.

     

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  • Starting Today @ 7PM|| How to Write, Add, Segregate & Organise Notes for UPSC-CSE?|| Ask me Anything Session with AIR 132, UPSC 2020 Topper Lakshay Chowdhary|| Free for All, Limited Slots|| Register Now

    Starting Today @ 7PM|| How to Write, Add, Segregate & Organise Notes for UPSC-CSE?|| Ask me Anything Session with AIR 132, UPSC 2020 Topper Lakshay Chowdhary|| Free for All, Limited Slots|| Register Now

    “I followed multiple strategies, multiple sources and asked advices from multiple people when I began my preparation in 2016. Yet, I felt a lack of guidance. By 2020, I followed a single strategy, a single source and took guidance from only Civilsdaily. And finally I cleared the exam after 2 attempts. ”

    Lakshay Chowdhary was an ardent follower of Civilsdaily current affairs from 2016. In 2018, he took the help of our Mains Answer Writing program and reached till the level of interview. However, by a few marks his name didn’t feature in the final list. That’s when he decided he will not prepare full-time but will take a job, support his family and prepare for UPSC-CSE once again. He decided to take mentorship for all the 3 stages from Civilsdaily mentors Santosh sir and Pravin sir. That’s when, he achieved the remarkable feat of clearing the exam with a high All India Rank of 132.

    Free Open for All, Q&A Webinar by Lakshay Choudhary

    They say, it’s better to get guidance from those who have failed than those who won. Because, those who have failed will know what mistakes they have made. However, for UPSC we would like to tweak this a little bit.

    “It’s better to get guidance from someone who has given several attempts and then went onto become a UPSC Topper”

    This Ask me Anything session by UPSC Topper Lakshay Choudhary will give all UPSC aspirants clarity on the right process to prepare the exam and the right strategy to excel. Lakshay, an aspirant from commerce background was confused like anyone initially. He chose the wrong optional, he started answer-writing practice after prelims, he was a subject expert but not an overall player, he studied for 12 hours everyday and never took breaks.

    So, what did he do that reduced his stress and prepare with limited sources yet achieve maximum marks? What did he do because of which he left only one question in 2020 Mains exam, while previously he couldn’t answer 2-3 questions from every paper? How did he clear the exam with just 6-8 hours of daily preparation when he couldn’t replicate success with 12 hours daily preparation in 2016? Attend his webinar on Monday to find out.

    Key Takeways of Ask me Anything Session with Lakshay Chowdhary

    1. When to start writing Mains answers. Is it better to practice 2-3 answers everyday even if there is a year more for UPSC exam?

    2. How many times in a month did Lakshay write Essay answers? Why practicing Essay Paper is important even as a beginner?

    3. Preparing for Current Affairs as a working professional. How did Lakshay reduce his newspaper reading time by using the Civilsdaily app?

    Consolidated notes from mentors and developing his own. How did Lakshay manage to create 1-2 pages of notes for the most important topics from every subject which helped him finish an answer within 250 words?

    Preparing without fear-factor. Why is it less stressful to prepare for UPSC as a working professional?

    Prelims, Mains and Optional — all in a day. How did Lakshay divide his daily schedule into three sessions?

    Negotiables vs Non Negotiables. What is required for UPSC exam and what is not?

    Be a practical risk-taker. When is it okay to switch an optional and why should you wait till the next attempt to change your study materials?

    Webinar Details

    Be ready with your list of doubts and get them clarified once and for all on Monday! Register for this free webinar by Lakshay Chowdhary (AIR 132).

    Date: 29 November 2021 (Monday)

    Time: 7 P.M

  • [Sansad TV] Perspective: WTO Reforms

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    The 12th Ministerial Conference of WTO is scheduled to take place in Geneva.

    Context

    • The World Trade Organization (WTO) is the principal forum for setting the rules of international trade.
    • For the past two and a half decades, it has helped reduce barriers to trade in both goods and services and created a dispute resolution system that supporters say reduced the threat of trade wars.
    • However with negotiations on a comprehensive development agenda due to disagreements, the WTO is under considerable pressure to achieve meaningful results.

    About World Trade Organization

    • The WTO is an intergovernmental organization that is concerned with the regulation of international trade between nations.
    • The WTO officially commenced on 1 January 1995 under the Marrakesh Agreement, signed by 123 nations on 15 April 1994.
    • It replaced the General Agreement on Tariffs and Trade (GATT), which commenced in 1948.
    • It is the largest international economic organization in the world.

    Functions of WTO

    • The WTO deals with regulation of trade in goods, services and intellectual property between participating countries.
    • It provides a framework for negotiating trade agreements and a dispute resolution process aimed at enforcing participants’ adherence to WTO agreements, which are signed by representatives of member governments and ratified by their parliaments.

    Working Principles of the WTO

    The WTO establishes a framework for trade policies; it does not define or specify outcomes. That is, it is concerned with setting the rules of “trade policy.” Five principles are of particular importance in understanding both the pre-1994 GATT and the WTO:

    1. Non-discrimination: It has two major components: the most favored nation (MFN) rule and the national treatment policy. The MFN rule requires that a WTO member must apply the same conditions on all trade with other WTO members. National treatment means that imported goods should be treated no less favorably than domestically produced goods.
    2. Reciprocity: It reflects both a desire to limit the scope of free-riding that may arise because of the MFN rule and a desire to obtain better access to foreign markets.  
    3. Binding and enforceable commitments: The tariff commitments made by WTO members in multilateral trade negotiation and on accession are enumerated in a schedule (list) of concessions. These schedules establish “ceiling bindings”: a country can change its bindings, but only after negotiating with its trading partners.
    4. Transparency: The WTO members are required to publish their trade regulations, to maintain institutions allowing for the review of administrative decisions affecting trade, to respond to requests for information by other members, and to notify changes in trade policies to the WTO.
    5. Safety values: In specific circumstances, governments are able to restrict trade. The WTO’s agreements permit members to take measures to protect not only the environment but also public health, animal health and plant health

    India and WTO

    Ever since the inception of this organization, India has been an active participant in its affairs and policies and played a crucial role in raising the concerns and demands of developing countries.

    • Reforms Agent: India always worked towards a multilateral trading system that offers a fair, open, transparent and balanced level playing field in the interests of the developing and least developing countries.
    • Leadership: India’s role right from the inception of the institution has always been that of a leader of the South, trying to ensure that fair play is brought into a rule-based system of global trade. It has retained this role till now, given that many smaller developing countries rely on it.

    Issues with WTO

    (1) Persistent North-South divisions

    • WTO talks are mainly seen as a showdown between the North and the South.
    • This is particularly so with the growth in strength of the developing countries and their regional and continental groupings.

    (2) Farm Subsidies

    • The tussle between developed and developing economies over farm subsidies also continues, with rich countries reserving the right to spend billions of dollars on supporting their farmers.
    • The livelihood issues raised by India, on the other hand, are considered only grudgingly, while the “peace” clause, allowing a 10 per cent subsidy on public stockholding of foodgrains, was extracted after many negotiations.

     (3) Developed vs. Developing Countries

    • Since the WTO allows countries to unilaterally classify themselves as “developing”, many countries have been happy to make use of this freedom. 
    • So, as many as two-thirds of the 164 members of the WTO have classified themselves as developing countries.

    (4) Decision-making process

    • In WTO decision making is through consensus. This has translated into making the WTO decision making long and subject to external manipulation.
    • Most of the time political and ideological differences come in a way of reaching a consensus.

    (5) Implementation problem

    • This relates basically to the difficulties that mainly developing countries face in meeting their obligations under the WTO agreements.
    • The two main areas that have affected implementation by developing countries have been the TRIPS and the Sanitary and Phytosanitary (SPS) measures agreements.

    (6) Not all countries joined

    • With an increasingly global trading system, member countries do not operate in isolation and trade with WTO member countries only.
    • Not all world countries have joined it makes it a less effective organization.  Countries such as Iran, Iraq, Lebanon, Uzbekistan has not joined WTO yet.

    (7) Strong influence of Corporate

    • The WTO essentially protects multinational corporations based in the North.
    • It is often accused to be acted as a tool of rich and powerful countries – notably the US, the EU, Japan and Canada.

    (8) Protectionism Vs Free Trade

    • There is a trade war between US and China despite both being a member of WTO.
    • This negates the core non-discriminatory principle of WTO

    (9) Dispute settlement mechanism

    • While WTO’s dispute settling mechanism allows aggrieved parties to file cases against member-states, some of the cases and issues have remained unresolved for a long time
    • The U.S. has systematically blocked the appointment of new Appellate Body members (“judges”) and de facto impeded the work of the WTO appeal mechanism.
    • Further, the dispute resolution mechanism of the WTO, which can pass judgments on disputes, lacks the powers to enforce them as the enforcement of decisions is left to individual member states.

    Criticisms of WTO

    Although tariffs and other trade barriers have been significantly reduced thanks to GATT and WTO, the promise that free trade will accelerate economic growth, reduce poverty, and increase people’s incomes has been questioned by many critics.

    Pro-rich: New countries actively reduce trade barriers only after becoming significantly rich.

    Failure in poverty alleviation: Trade liberalization does not guarantee economic growth and certainly not poverty alleviation.

    No mutual benefits: Critics also put forward the view that the benefits derived from WTO facilitated free trade are not shared equally.

    Rich-poor countries rift: The gap between the rich and the poor continues to widen, especially in China and India, where economic inequality is growing even though economic growth is very high.

    Competition: Trade liberalization that is too early without any prominent domestic barriers is feared to trap the developing economies in the primary sector, which often does not require skilled labor.

    Way forward

    • There is need for the structural reform in the WTO functioning as multilateral trading system
    • Need of free trade is required more by developing countries like India than developed countries. So developing countries must work collaboratively to strengthen WTO.
    • Despite WTO being a democratic organization, there is a need to make it more effective in protecting the interests of small nations against stronger countries.
    • WTO needs to strengthen the dispute settlement mechanism as there are issues in appointment of judges in new appellate body
    • Lastly, WTO needs to enhance discussion mechanism by introducing wider consultations.