India and the WTO are an important issue for public service auditing, especially upSC Mains. In 2013, a question was asked for the power grid: “The Food Security Act is expected to eliminate hunger and malnutrition in India. Many fears about effective implementation and the concerns it has raised in the WTO are the subject of a critical debate. It is therefore clear that a law passed by the Indian parliament has raised concerns within the WTO. The issues between India and the WTO are not yet over. The current controversy is India`s refusal to sign a decisive trade agreement: the Trade Facilitation Agreement. The Trade Facilitation Agreement was introduced to simplify customs procedures by reducing costs and improving the efficiency and speed of trade. The main objective of the agreement is to simplify border management programmes and reduce barriers to trade. It is a legally managed agreement and is considered one of the biggest reforms the World Trade Organization (WTO) has undertaken since its inception. India is currently at a very important crossroads in terms of economic growth. The trade facilitation agreement has helped India achieve a global position in exporting and importing products. India has managed to redefine itself as a nation that has engaged in legitimate trade.
The agreement has proven to be extremely beneficial for India. Yes, India has withdrawn from its previous level, but for better reasons. The TFA is most likely to help industrialized countries, although it aims to better help developing and underdeveloped countries. If the main objective was to improve developing and underdeveloped countries, the focus should be on the adoption of agreements on other aspects related to agriculture (food security) and LDCs. It seems that India has withdrawn for better bargaining power. If India had signed the TFA agreement, it might not be necessary to find a sustainable solution to food security. The current peace clause will end in 2017 and the new constraints could be unfavourable to India. Having supported food security with TFA, India now says that the Bali package can only be coordinated together. Let us wait and see how things develop in the future. Another objective of this agreement was to allow a simple and transparent movement of goods across national borders. The TFA intends to create a less discriminatory business environment by speeding up registration procedures and formalities. From the early days of the Silk Road to the creation of the General Agreement on Tariffs and Trade (GATT) to the creation of the WTO, trade has played an important role in supporting economic development and promoting peaceful relations among nations.
The Trade Facilitation Agreement entered into force in 2017, when the number of member states that ratified the agreement reached 112. The main objective of the agreement was to stimulate global growth by reducing transaction costs related to export and import. Thus, the hope of a global trade agreement within the WTO has collapsed. TFA was supposed to come into force on July 31, 2015, but did not see the light of day. The Bali package (2013) contained 10 agreements that can be grouped under three headings: TFA, Agriculture (food security) and Least Developed Nations (LDCs). While the main focus of industrialized countries was TFA, India was concerned about moving forward without finding a lasting solution to the problem of food security. India has insisted that it does not approve the TFA unless the entire Bali package, which allows developing countries to buy food from farmers for food security, is consolidated at the same time. .