Time Allowed : Three Hours      Maximum Marks : 250

Instructions: There are TWENTY questions printed both in English and in Hindi. All questions are compulsory. The number of marks carried by a question/part is indicated against it. Answers must be written in the medium authorised in the Admission Certificate which must be stated clearly on the cover of this Question-cum-Answer (QCA) Booklet in the space provided. No marks will be given for answers written in medium other than the authorised one.

Word limit in questions, wherever specified, should be adhered to.

Answer the questions in not more than 200 words each. Contents of the answer is more important than its length. All questions carry equal marks.

Q.1. Starting from inventing the ‘basic structure’ doctrine, the judiciary has played a highly proactive role in ensuring that India develops into a thriving democracy. In light of the statement, evaluate the role played by judicial activism in achieving the ideals of democracy. 12

Important Points for Answer:

•       Basic Structure doctrine

•       Judicial Activism

•       Contribution to democracy

Answer: To keep prevent the government from destroying the fundamental structure and philosophy of the Constitutuion, the Supreme Court adopted the doctrine of Basic Structure in Keshavanand Bharati Case 1973.

Till now judiciary have been successful in fulfilling its role by inventing basic structure doctrine to bring constitutional amendment within purview of judicial review along with extending right to life and liberty by linking it to DPSPs to promote compulsory education as well as right to safe and fresh environment.

Judicial activism is a mechanism through which judiciary puts check on legislative adventurism as well as executive tyranny by enforcing constitutional limits. Judicial activism is necessary to ensure that our constitutional offices and institutions does not become tools for extending any authoritarian agenda of government in power.

However, it is important to note that in a democracy, where judiciary is one of the three pillars of the system. Therefore, in the zeal of judicial activism, judges of Supreme Court and High Courts should not assume the role of an independent policy makers but should act only as interpreter of the constitution to maintain spirit and sanctity of the constitution.

Thus, judicial activism is imperative for Indian democracy but judiciary should maintain confidence and support of public by taking rational and cautious approach.      (Total 211 words)

Q.2. Though the federal principle is dominant in our Constitution and that principle is one of its basic features, but it is equally true that federalism under the Indian Constitution leans in favour of a strong Centre, a feature that militates against the concept of strong federalism.     12

Important Points for Answer:

•       Federalism in India

•       Strong Centre

•       Weak federalism

Answer:Popularly Federalism is known as a set-up of government where the powers to govern is equally and clearly distributed between federal government and its state units.

Indian constitution defines India as a Union. As the Seventh Schedule distributes powers between the centre and states with help of three lists, each State has own government and right to enact laws on the subjects assigned, Indian polity is a kind of federalism.

But within constitution there are several features which provide prominence to the centre over states, some of these features are:

   (a)       Centre appoints Governor.

   (b)       In case of conflict between centre and state laws, the centre’s law will prevail.

   (c)       In case of constitutional machinery or law and order breakdown along with threat to national security, the centre can takeover states administration through emergency provisions.

   (d)       The control of Constitutional Bodies like Election commission, CAG, etc., lies in the hands of centre.

   (e)       Unified judiciary is also going against federal spirit. Judges of Supreme Court and High Courts are appointed by Union.

   (f)       States do not have own constitution.

However, Indian federalism is often described as quasi-judicial federal system because it can be converted into unitary in case of emergency. (Total 202 words)

Q.3. The ‘Powers, Privileges and Immunities of Parliament and its Members’ as envisaged in Article 105 of the Constitution leave room for a large number of uncodified and un-enumerated privileges to continue. Assess the reasons for the absence of legal codification of the ‘parliamentary privileges’. How can this problem be addressed? 12

Important Points for Answer:

•       Article 105

•       Parliamentary Privileges

•       Problems and Codification

Answer: Article 105 of constitution provides certain privileges to Members of Parliament by granting immunity from any action or speech by them while performing their duties within Parliament. Similar provisions are made for MLAs under Article 194.

As the privileges are not codified, they continue to be same as what were enjoyed by British Parliamentarians at the time of Constitution.

The parliament has not passed any law to regulate parliamentary privileges which is mandated by Article 105(3).Thus MPs and MLAs continue to enjoy unhindered immunity for serving political vendetta.

But within article 105 there is huge space which is occupied by a large number of uncodified and unenumerated privileges, which fails the purpose of parliamentary privileges.

Such as, legislative members indulge in hate speech, pass on derogatory remarks on each other while shielding under immunity granted by article 105.

These privileges have created tussle with the fundamental right to freedom of speech and also with judiciary’s right to decide scope of privileges. In cases, Parliament has summoned journalists for reporting debate of Parliament/State legislature.

Thus, it is high time now to pass such a law to regulate privileges and immunities of legislative members so that integrity of parliament can maintained. (Total 202 words)

Q. 4. What do you understand by the concept “freedom of speech and expression”? Does it cover hate speech also? Why do the films in India stand on a slightly different plane from other forms of expression? Discuss.   12

Important Points for Answer:

•       Freedom of speech and expression

•       Hate speech

•       Films in India

Answer:Freedom of speech and expression is a fundamental concept of freedom and liberty which is also endorsed by Indian constitution. It provides Freedom of speech and expression as fundamental right to every citizen of India under Article 19. It covers right to express one’s opinion in any form such as by speech writing or even by staying silent.

However, Freedom of speech and expression does not cover hate speech as it violates right of others and disturbs harmony in society, affects law and order which is counterproductive to both nation and its citizen. Thus, hate speech is crime under Indian Penal code and prohibited by constitution.

On the same issue film industry has slightly different position:

• As the industry claims film is virtual and fictional rather than real unlike hate speeches.

• Films are means to entertain as well as to provide learning, thus they need freedom to show reality.

• Apart from that, there is film certification board to rate the film for appropriate audience, thus full freedom is necessary in making of film.

Hence, films are product of creativity and expression and need freedom of speech and expression. Even then if movie offends someone, filmmaker will be responsible. Until then film makers should be granted full freedom of speech and expression.           (Total 211 words)

Q.5. Instances of President’s delay in commuting death sentences has come under public debate as denial of justice. Should there be a time limit specified for the President to accept/reject such petitions? Analyse. 12

Important Points for Answer:

•       Commutation of Death Sentence

•       Constitutional provisions

•       Delay

•       Judgements

Answer: Article 72 of constitution of grants power to the President to reprive, respite, pardon or commute punishment of a convicted person even in the case of capital punishment. The same is exercised by the President on the advice of Council of Ministers.

There has been cases where the President has not disposed off the petition for pardon for more than a decade. It delays execution of punishment. The basic principle of administration of justice is that justice delayed is justice denied. This undue delay accounts for denial of justice. Resultantly, Supreme court held prolonged delay in commuting death sentence have “dehumanising effect” and it is tortuous for condemned convict. Such a delay violates this right of an individual and therefore the clemency petition must be disposed off in a reasonable time by the President or Governor.

Though the Constitution does not provide for any time limit within which the President or the Governor should dispose off the matter. The Supreme Court has also said in various cases that any time limit cannot be prescribed for the President to deal with mercy petitions.

However, such system should be put in place in informal manner as any regulation and law mandating such time limit will breach independence of office of president of India.        (Total 211 words)

Q.6. The size of the cabinet should be as big as governmental work justifies and as big as the Prime Minister can manage as a team. How far is the efficacy of a government then inversely related to the size of the cabinet? Discuss.           12

Important Points for Answer:

•       Cabinet

•       91st Amendment

•       Efficiency of Government

Answer:Cabinet is a close group of Ministers, headed by Prime Minister, which is responsible for the government. This cabinet works as a team based on principle of collective responsibility to Parliament, to ensure that country remains up and running.

In India, the size of cabinet is fixed as 15% of Parliament or State Legislature strength by the 91st Constitutional Amendment Act. This provision was introduced to put check on large and cumbersome size of cabinets, which are made to fulfil political commitments to coalition parties.

If the cabinet is very large, it is difficult to manage by Prime Minister as a team. There would be too much division of work among the Ministers which will make it difficult to coordinate.

However, even small size of cabinet is not free from issues. Since it tends to centralise power in few hands and goes against the principle of collective responsibility. Moreover, it puts extra burden on few person which may delay decision making, such as single minister handling more than on portfolio.

Therefore, size of cabinet should be optimum based on the requirement of workload and responsibility as well as which prime minister effectively control and lead the ship of nation.(Total 199 words)

Q.7. Though 100 percent FDI is already allowed in non-news media like a trade publication and general entertainment channel, the government is mulling over the proposal for increased FDI in news media for quite some time. What difference would an increase in FDI make? Critically evaluate the pros and cons.        12

Important Points for Answer:

•       FDI

•       FDI in News Media

•       Pros and Cons

Answer: Foreign Direct Investment brings with itself much needed capital, technology, management and knowledge. Non-News Media is one of the sector where 100% FDI is permitted.

Government is considering proposal for 100% FDI in New Media also. However, News media is the fourth pillar or estate of democracy. It has to play an immense role in democracy in India.Therefore, news media is not comparable to ordinary entertainment channels.Given to this, currently only 26% FDI is allowed in news media.

The proposal to raise it 100% have both pros and cons:


• FDI will provide the much needed financial support to news channel.

• Better technology will help them to raise their quality of broadcasting.

• Competition induced byFDI will compel channels to raise their standard of reporting and mitigate yellow journalism.


• There is a threat that Indian media can be painted in western colours.

• If the control of a media house pass on to foreign hands, it directly risks security of India.

• Any misreporting will impact wide range of public as well as bureaucrats, politician and officials.

Therefore, government should take a cautious approach and extend the limit to 49% rather than 100%, so that control remains in Indian hands and media can have access to better financial resources, without compromising with freedom of Media.          (Total 217 words)

Q.8. The setting up of a Rail Tariff Authority to regulate fares will subject the cash strapped Indian Railways to demand subsidy for obligation to operate non-profitable routes and services. Taking into account the experience in the power sector, discuss if the proposed reform is expected to benefit the consumers, the Indian Railways or the private container operators.       12

Important Points for Answer:

•       Rail Tariff Authority

•       Function

•       Implications

•       Power Sector

Answer: Indian railways is running in huge losses, thanks to its cross subsidisation model, in which freight trains cross subsidise losses for passengers. This model is adopted by railways fulfil a social obligation to provide cheap source of transportation.

Similar situation was prevalent in electricity sector also which is now reformed by enactment of Electricity Act, 2003. The act brings in private players in electricity distribution companies, which made certain improvement in this sector.

On the same line, government intends to set up an independent Rail Tariff Authority (RTA), which will rationalise the passenger fair to stop cross subsidisation. The idea to establish an Indian Railways Regulatory Authority (IRRA) was first mooted in the Rakesh Mohan Committee Report (2001), which had other innovative recommendations.

RTA will not only reduce the losses of Railways but also make railways competitive for freight and passenger transport. Moreover, by better pricing policy, railways will enable to provide better quality services.

By introducing system like dynamic pricing, railways can provide high quality service to premium passengers, and with better finances required infrastructure can be created to serve its social obligation.

Thus, setting up of RTA is a step in right direction but cautiousness is required so that railway can turn into a commercially viable unit without losing its social face. (Total 214 words)

Q.9. National Human Rights Commission (NHRC) in India can be most effective when its tasks are adequately supported by other mechanisms that ensure the accountability of a government. In light of above observation assess the role of NHRC as an effective complement to the judiciary and other institutions in promoting and protecting rights standards. 12

Important Points for Answer:

•       National Human Rights Commission

•       Support required

•       Assessment

Answer: National Human Rights Commission (NHRC) was constituted as a statutory body in 1993 by an act of Parliament to protect and promote human rights such as right to life, liberty, equality and dignity.

NHRC is vested with powers equal to a civil court but due to some shortcomings it could not fully achieve its intended goal.

These limitations are:

Lack of financial autonomy keeps NHRC completely dependent on government even for day to day finances.

Functional Autonomy is missing for NHRC as there several restrictions on it’s functioning.

Further, they do not have power to enforce their decision, however it they can recommend corrective action.

Members of NHRC tend to remain soft and biased towards government as there is no officer cadre for NHRC. Appointment based members do not have job security.

Statutory restrictions such as bar on NHRC to investigate Human Rights violation by armed forces put further limitation.

Undoubtedly, there is huge scope and need to reform and empower NHRC, which can be done by legislature by granting more autonomy and authority to NHRC. It can be turned into a specialised agency which can support court and civil society to stop human rights Violation. NHRC has played complementary role of judiciary by being a whistleblower and giving recommendations to Parliament. (Total 212 words)

Q.10. The penetration of Self Help Groups (SHGs) in rural areas in promoting participation in development programmes is facing socio-cultural hurdles. Examine.      12

Important Points for Answer:

•       Self Help Groups

•       Importance

•       Hurdles

Answer: Self Help Groups (SHG) are voluntary groups consisting of 10-20 individual, mostly coming from similar background. People in these groups helps each other by financial as well as technical support to create livelihood. Worldwide SHGs are quite popular and successful among women. In india, after initial success, the SHGs are facing various socio-cultural hurdles. Some of them are:

   (a)       Lack of social support to women as their capabilities are always doubted.

   (b)       Family support is also missing, as women is burdened with other family chorus and face restriction.

   (c)       Lack of knowledge because of high illiteracy level of women and low exposure to outside world keep their practical knowledge very limited.

   (d)       Resultantly, women remain disadvantaged in marketing and dealing with middleman.

   (e)       Prevalence of caste system in India put barrier in formation of SHGs in rural India.

Although limited by various factors, SHGs model has immense potential in India. Realising the same, government has come up with various skill and financial support programmes to help NGOs, micro finance institute, NABARD and RRB. However, the pace of implementation of these structured skill training package remains low. SHGs can be useful tool for empowerment of women and betterment of society. (Total 201words)

Q.11. Do government’s schemes for uplifting vulnerable and backward communities by protecting required social resources for them, lead to their exclusion in establishing businesses in urban economies?           12

Important Points for Answer:

•       Schemes

•       Protection

•       Exclusion

Answer:Communities which are not able to meet their basic needs by using the available resources are termed as vulnerable and backward communities. Government is consistently working for their welfare and upliftment by implementing various schemes in social and economic sectors. The welfare schemes like MNREGA,Atal Bima yojna,NRHM, Food security Act, Sarva Shiksha Abhiyan etc. are some of them. Most of the schemes intend to provide reservation, opportunities or resources without upgrading their skills to compete in urban and business environment.

It is difficult for these communities to come up with resources and expertise needed to start a business in urban communities. Further, they are not qualified enough to take up good jobs in urban centres.

Moreover, even government is trying to keep them in villages to check migration to overcrowded urban centres. It has also been noticed that SC/STs are more comfortable in doing work in their or close to their native places.

In this scenario, government should push for a revamped PURA i.e. Providing Urban Amenities in Rural Areas. This will create employment is RURBAN areas and help in eliminating need to migrate to urban centres. By following this approach, with Shyama Prasad Mukherjee Programme, government has taken a step in direction for holistic development of rural India.(Total 213 words).

Q.12. An athlete participates in Olympics for personal triumph and nation’s glory; victors are showered with cash incentives by various agencies, on their return. Discuss the merit of state sponsored talent hunt and its cultivation as against the rationale of a reward mechanism as encouragement.        12

Important Points for Answer:

•       Athlete and sportsmen

•       Cash rewards

•       Suggestions

Answer: In a developing country like India, due to socio-economic condition of a common household, adopting sports as a profession remains low in priority. However, there some exceptional athletes who raise the flag of India in important events namely commonwealth games and Olympic games.

On their victory in national and international events, many states and agencies offer them cash rewards. This is certainly useful for the athletes coming from poor and middle-class background to keep their interest in sport. It also encourages other sports persons.

However, these rewards benefits only particular athlete rather than helping entire generation of athlete. Moreover, it promotes winner takes it all approach, which is counterproductive for creating a good sports environment.

Accordingly, state should engage in talent hunt programme and train capable athlete to participate in sports events. It would create necessary infrastructure helping both future as well present sportsperson and promote and encourage youth to take up sports as a carrier.

It is required to create a transparent system where talented athlete will get fair chance to represent the country. Talent hunts will give a chance to athletes from rural and backward regions to come forward. More importantly, it will create a healthy sports environment, which will also help keeping youth away from drugs and other vices.       (Total 214 words)

Q.13. Should the premier institutes like IlTs/IIMs be allowed to retain premier status, allowed more academic independence in designing courses and also decide mode/criteria of selection of students. Discuss in light of the growing challenges.12

Important Points for Answer:

•       Importance of IIT/IIMs

•       Status and shortcoming

•       Need for independence

•       Balanced conclusion

Answer:IIT/IIMs are regarded as symbol excellence when it comes to higher education in India. As only best young minds are able to get admission in these premiere institutions.

However, even these premiere institutions stand average when compared to worlds best institutions of higher learning.

One of the reasons for this average ranking in world is unnecessary political interference in their functioning. As these institutions do not enjoy the needed independence in setting up and changing their curriculum as per changing needs of industry and society.

Moreover, India is a country having demographic dividend and needs better quality institutions. For this ample space should be provided to these premiere institutions for revising and updating their courses, recruitment, research, granting scholarship etc.

Further, better resource allocation should be provided by government so that best facilities could be provided to students.

However, some positive government control could be there as these institutions are financed by tax payer’s money, and government have to ensure these institutions are working in public welfare rather than pure commercial consideration.

Overall, in this era of globalisation and competition government should extend every possible support to these premiere institution, so that they can contribute in harnessing India’s massive demographic dividend and maintain their premier status. (206 words)

Q. 14. Has the Cadre based Civil Services Organisation been the cause of slow change in India? Critically examine.    12

Important Points for Answer:

•       Rationale behind cadre based civil service

•       Debate over its existence

•       Need for change

•       Possible reforms

Answer: Civil servants in India are seen as symbol excellence in field of administration. These cadre based civil servants are working on the top positions, all over country and across departments.

However, with changing times it has been noticed that generalist civil servants are not suitable for technical positions like accounting and economic planning etc. It has been noticed that they are making government functioning slow, and they are not adapting changes as per changing nature of society.

Moreover, lack of competition and promotions based on seniority do not encourage them to work on their toes. Apart from that, discrimination between all India services and other services have been creating a demoralising effect on officers of other services.

Further, in present times a large number of important expertise and knowledge generates in private sector which can be productive for bringing excellence in government administration.

To make this outside knowledge available for public use, and increase competition in civil services   the concept of lateral entry is gaining currency in government policymakers. More importantly, it can be a good idea bring best practice, professionalism and discipline of private sector in public servants.

Ultimately, the goal of government must be to achieve excellence in delivering good governance and every necessary change for this purpose is welcome.  (210 words)

Q.15. Two parallel run schemes of the Government, viz. the Aadhar Card and NPR, one of voluntary and the other as compulsory, have led to debates at national levels and also litigations. On merits, discuss whether or not both schemes need run concurrently. Analyse the potential of the schemes to achieve developmental benefits and equitable growth. 12

Important Points for Answer:

•       Schemes

•       Functioning

•       Overlap

•       Analysis

Answer:Both NPR and UIDAI intends to create a register of residents by creating demographic data, biometric data and AADHAR number. Both the schemes collect similar kind of biometric data.

However, while NPR is concerned to achieve better national security and UIDAI is concerned with assigning unique ID to every AADHAR holder to stop leakages financial transitions like wages and subsidies disbursing.

But still there is a huge overlap between two systems resulting into duplication of efforts, and making the whole process slow cumbersome. That’s why, continuation of both schemes together is not advisable.

While government should try to use available data in creating a mechanism by which digital infrastructure could be created and using which leakages in social security benefits and subsidies could be eliminated. Moreover, such system is in line with government’s effort in providing better governance.

This new data system will also save lots of money and time, thus making India financially stronger.

All this can be done by sending data collected by NPR after authentication of identity, place of residence, to UIDAI for creating AADHAR number.

Following which both the schemes should be linked up to different departmental project for their better functioning and ensuring transparency in their functioning.           (200 words)

Q.16. With respect to the South China sea, maritime territorial disputes and rising tension affirm the need for safeguarding maritime security to ensure freedom of navigation and over flight throughout the region. In this context, discuss the bilateral issues between India and China. 12

Important Points for Answer:

•       South China sea

•       Dispute

•       India’s concerns

•       Steps taken by India

•       China’s response

Answer:South China sea has become a theatre of territorial dispute between several countries including China, Brunei, Vietnam, Malaysia and Philippines. All these countries have put forward their claims over some or other portion of south china sea, which is currently occupied by China across Nine Dash line.

Though India is not party to this dispute but it concerns India because:

• Over 2 trillion-dollar trade passes through this route, China’s control over these lanes is direct threat to India’s interest.

• Moreover, it is a part of Chinese strategy, namely “String of Pearls” to contain India in South Asia by building ports around her.

• Apart from this, India is also exploring oil in Vietnam and recently offered two more oil fields by Vietnam in disputed Territory, this does not go down well with China.

• The dispute of South China sea also affects India’s look east policy, as it involves India South East Asian neighbours.

In response to this dispute, and china’s plan to encircle India, now we are combing with

“Necklace of diamond strategy” which also prompted sharp reaction from China.

However, in any case India must put her weight for freedom of navigation and trade in all international waters, but in doing so, India should try to not raise much eyebrows and should maintain her image as a peace-loving nation.    (215 words)

Q.17. The aim of Information Technology Agreements (ITAs) is to lower all taxes and tariffs on information technology products by signatories to zero. What impact would such agreements have on India’s interests? 12

Important Points for Answer:

•       Information Technology Agreement

•       Impact on India

Answer: India joined Information Technology Agreement 1 in 1997. This WTO agreement intends to eliminate duties and tariffs on IT products. But these agreements could go both sides and for India it went south, making India stay away from ITA2 talks.

The main Impacts of Information Technology Agreement are listed below:

Positive effects:

   (a)       Such agreements can provide boost to IT manufacturing thus creating more jobs in this sector, which will help India in harnessing her Demographic Dividend.

   (b)       Cheap IT imports will help the digitisation initiative i.e. “Digital India” of government and give boost to E governance in country.

   (c)       Information Technology Agreement could give boost to country’s IT exports as lower tariffs can open up new markets for Indian IT products especially in the emerging economies of Asia and Africa.

Negative impact of Information Technology Agreement:

   (a)       It will be counterproductive for India’s MAKE IN INDIA initiative as markets can be flooded by cheap imports.

   (b)       Such agreements benefit countries which have developed enough capacity to compete in international markets rather than countries like India which is a service giant and whose manufacturing sector is still in nascent stage.

   (c)       Information Technology Agreement makes India vulnerable to dumping by countries like China as similar situation witnessed in Steel sector. (209 words).

Q.18. Some of the International funding agencies have special terms for economic participation stipulating a substantial component of the aid to be used for sourcing equipment from the leading countries. Discuss on merits of such terms and if, there exists a strong case not to accept such conditions in the Indian context. 12

Important Points for Answer:

•       Foreign aid and its purpose

•       Conditions with such aid

•       Impact on India

Answer: Transfer of goods, services or capital from one country to another country or from an international organisation to a country can be termed as foreign aid.

Though on its face these aids appear to be for the benefit of receiving country but often they also further interest of the donor country.

Since at times, these aids come with strings attached to procure things from certain countries or companies only. Such conditions with aids, in long term can even threaten financial sovereignty   of receiving country.

For India, such aids have both positive and negative impacts:


• Such aids provide much needed capital support to India’s capital starved infrastructure sector.

• Moreover, it helps in creation of employment and helps society by creating public assets, for e.g. Japanese Aid in Bharatmala Project.

• It also brings new technology and administrative experience to nation.


• Restriction put by aid, reduce options for India to find value for money in other countries.

• There can be a situation when India have to buy products which are not suitable for Indian conditions.

• In present polarised world, aid receiving country without any intention can be seen as enemy nation by the other block.

• In longer term, such condition can create unhealthy dependencies on a single country, especially in case of critical technologies like nuclear reactors.

Thus, India should go for trade diversification and avoid situations like putting all eggs in same bucket.          (230 words)

Q.19. India has recently signed to become founding member of New Development Bank (NDB) and also the Asian Infrastructure Investment Bank (AIIB). How will the role of the two Banks be different? Discuss the strategic significance of these two Banks for India. 12

Important Points for Answer:

•       NDB and AIIB

•       Differentiate

•       Strategic significance for India

Answer: In effort to increase her role in developing world, and shift economic power from west to east, India recently joined two new International Financial institution which are discussed below.

New development bank: also known as BRICS bank by taking first letter of name of its five members. It will be headquartered in Shanghai. The unique nature of this bank is its provision of equal voting power, which is major shift from west dominated institutions like world bank and IMF. Moreover, the bank has global focus.

Asian Infrastructure Investment bank: it is a project led by china. The Voting power in this bank is according to contribution of member countries, resultantly, China enjoys veto power here. As the name suggest its main purpose is to finance infrastructure projects in developing countries.

These banks are strategically up against Bretton woods twins to break their dominance, however, for India these banks are even more significant because:

a) These banks provide chance to India in taking up  leadership role among  developing countries.

b) India needs massive investment in infrastructure which can be funded by these banks and  more options will also increase India’s bargaining power to get favourable loans from ADB and world bank.

 Overall, these new entrants are expected to join hands and help poor and developing countries to achieve their full potential.       (210 words)

Q.20. WTO is an important international institution where decisions taken affect countries in a profound manner. What is the mandate of WTO and how binding are their decisions? Critically analyse India’s stand on the latest round of talks on Food security. 12

Important Points for Answer:

•       WTO

•       Role and Function

•       Decisions

•       India’s stand

Answer: World Trade organisation (WTO) is an international organisation which aims to reduce tariff barriers in international trade. The WTO is run by its members and all decisions are taken by negotiation and consensus, which makes all decision acceptable to member countries. The decision is imposed by use of trade sanction against members who violates terms agreed in WTO.

The trade facilitation agreement is one such agenda of WTO which it took up in 2001 ministerial conference. It intends to create comprehensive development agenda for trade with minimum barriers. However, decision to include agriculture support mechanism such as MSP with in TFA does not go well down with developing countries.

As WTO rules cap MSP at 10% of total value which is not viable developing countries as they do not have deep pockets like advanced nations. Moreover, such cap also threatens food security of developing countries because they need to procure food grains to redistribute in their poor population.

On this issue India by taking lead for developing countries and successfully negotiated a peace clause for continuation of food subsidy. But India also made a statement in general assembly that all such talks of TFA must be stopped until we do not reach to a permanent solution over public stockholding issue. (210 words)