TOPIC : GS 2 Bilateral, Regional and Global Groupings and Agreements involving India and/or affecting India’s interests.
Reboot to reset
What is the news?
- India’s largest trading partner and one a significant trade surplus of U.S., is no longer interested in securing a bilateral free trade agreement
- An official acknowledgement of this, from government suggests that years of negotiations towards a ‘miniÂtrade deal’ followed by a full-blown trade pact .
Long Road for Free trade dealÂ
- The Government will now seek to work on market access issues on both sides, adding that lowering of nonÂtariff barriers, mutual recognition pacts and adopting common quality standards can also help Indian exports in the interim.
- There is a possibility that even issues, which include long festering difference over providing access to U.S. agricultural products
- It also includes easing import duties on automobiles and Bourbons, would have to be discussed afresh.
- The U.S. envoy to India has $500 billion bilateral trade vision
- The trade target, set from Barack Obama regime, remains unchanged, but the tools for achieving it are no longer clear.
Future Challenges ahead
- India was pulled out of the S.’s Generalized System of Preferences (GSP) that granted some tariff relief to its exports by the previous government in 2019,
- It hopes of its reinduction through a miniÂtrade deal appear bleak.
- While India was expected to gain from the Sino- U.S. trade wars under the Donald Trump administration
- Its retaliation to the GSP status revocation with hiked tariffs on U.S. products had led to frictions that perhaps hamper the conclusion of a miniÂtrade deal before the change at the helm .
- The S.’s no-go stance on the FTA implies ambitions may have also provides an opportunity for India to holistically review its stance on global trade.
Way Forward
- It is refreshing that Indian Government has signalled a revamped approach towards FTAs and reminded Indian industry there cannot be oneÂway traffic.
- It needs to be matched by actions that start unwinding India’s creeping walls of import tariffs.
- The Atmanirbhar Bharat campaign has further worsen that view as the advent of a protectionist ‘closed market’ project.
- The self-reliance drive is one that seeks to integrate with global value chains can only go so far.
- Trade policy cannot be perpetuated in isolation and, in fact, affects investments too.
- Out of RCEP, India needs to demonstrate to its potential FTA partners, including the EU and the U.K., with which rivals like Vietnam have already sealed a deal, that it is a viable alternative to China in a postÂCOVID world.
- To be a major trading and manufacturing nation, India can ill afford to keep sending mixed signals.
Â
Mains Question
Â
Explain how IndoÂU.S. trade deal off it is time India reorients its global economic engagement ?
PRELIMS PUNCHERS
- Consumer Welfare Fund
The erstwhile Central Excise and Salt Act, 1944 was amended in 1991 to enable the Central Government to create a Consumer Welfare Fund (CWF) where the money which is not refundable to the manufacturers, etc. was to be credited. The Consumer Welfare Fund Rules were notified in the Gazette of India in 1992. After CGST Act, 2017, CGST Rules, 2017 have been framed. The Act and Rules of 2017 superseded the above Act of 1944 and CWF Rules, 1992-incorporated in the Consumer Welfare Fund of the CGST Rules, 2017. The present Consumer Welfare Fund has been setup under section 57 of the CGST Act, 2017.
Financial assistance from CWF is given to Central/State Governments/Government Bodies, Institutions including Universities, PSUs, Autonomous bodies, Voluntary Consumer Organizations (VCOs) etc. to promote, protect and advocate the welfare and interests of the consumers in India, create consumer awareness and strengthen consumer movement in the country. The contribution of Centre and State/UT is in the ratio of 75:25 and 90:10 in the case of Special Category States/UTs, in the corpus.
Sources : https://pib.gov.in/PressReleaseIframePage.aspx?PRID=1694559
Â
- The Abraham Accords
They are a joint statement between Israel, the United Arab Emirates, and the United States, reached on August 13, 2020. Subsequently, the term was used to refer collectively to agreements between Israel and the United Arab Emirates the Israel United Arab Emirates normalization agreement and Bahrain, respectively the Bahrain–Israel normalization agreement.
The agreement with the UAE was officially titled the Abraham Accords Peace Agreement: Treaty of Peace, Diplomatic Relations and Full Normalization Between the United Arab Emirates and the State of Israel. The agreement between Bahrain and Israel was officially titled the Abraham Accords: Declaration of Peace, Cooperation, and Constructive Diplomatic and Friendly Relations, and was announced by the United States
- Tal Chhapar Sanctuary
It is a sanctuary located in the Churu district of Northwestern Rajasthan, in the Shekhawati region of India. It is known for blackbucks and is also home to a variety of birds. The sanctuary is around Jaipur on the fringe of the Great Indian Desert and situated on road from Ratangarh to Sujangarh. The Tal Chhapar sanctuary lies in the Sujangarh Tehsil of Churu District.
It is a flat saline depression locally known as a “tal” that has a unique ecosystem in the heart of the Thar Desert. The sanctuary, with almost flat tract and interspersed shallow low-lying areas, has open grassland with scattered Acacia and Prosopis trees which give it an appearance of a typical savanna. Tal Chappar Sanctuary comes alive with the chirping of various migratory birds including Montagu’s harrier, marsh harrier, pale harrier, imperial eagle, tawny eagle, short toed eagle.
Â
- Atal Mission for Rejuvenation and Urban Transformation (AMRUT)
It was launched in June 2015 with the focus to establish infrastructure that could ensure adequate robust sewage networks and water supply for urban transformation by implementing urban revival projects. Rajasthan was the first state in the country to submit State Annual Action Plan under Atal Mission for Rejuvenation and Urban Transformation (AMRUT). The scheme Housing for all by 2022 and Atal Mission for Rejuvenation and Urban Transformation (AMRUT) were launched on the same day. The scheme is dependent with public–private partnership(PPP) model. If required, various other schemes like Swachh Bharat Mission, Housing for All 2022, along with the local state schemes like that related to water supply and sewerage and other infrastructure related schemes can be linked to AMRUT.
Sources : https://www.pib.gov.in/PressReleasePage.aspx?PRID=1730341
Â
Â
Prelims Questions
- Consider the following statement with regard to The Abraham Accords
- They are a joint statement between Israel, the Saudi arbia , and the United States
- The agreement between Bahrain and Israel was officially titled the Abraham Accords
Select the correct statement using code given below.
(a). 1only      (b) 2 only
(c).Both      (d). None of above
Answer : B
Â
They are a joint statement between Israel, the United Arab Emirates, and the United States, reached on August 13, 2020. Subsequently, the term was used to refer collectively to agreements between Israel and the United Arab Emirates the Israel United Arab Emirates normalization agreement and Bahrain, respectively the Bahrain–Israel normalization agreement.
The agreement with the UAE was officially titled the Abraham Accords Peace Agreement: Treaty of Peace, Diplomatic Relations and Full Normalization Between the United Arab Emirates and the State of Israel. The agreement between Bahrain and Israel was officially titled the Abraham Accords: Declaration of Peace, Cooperation, and Constructive Diplomatic and Friendly Relations, and was announced by the United States
- Tal Chhapar Sanctuary is located in which of the following state
- Rajasthan
- Madhya Pradesh
- Maharashtra
- Odisha
Answer : A
It is a sanctuary located in the Churu district of Northwestern Rajasthan, in the Shekhawati region of India. It is known for blackbucks and is also home to a variety of birds. The sanctuary is around Jaipur on the fringe of the Great Indian Desert and situated on road from Ratangarh to Sujangarh. The Tal Chhapar sanctuary lies in the Sujangarh Tehsil of Churu District.
It is a flat saline depression locally known as a “tal” that has a unique ecosystem in the heart of the Thar Desert. The sanctuary, with almost flat tract and interspersed shallow low-lying areas, has open grassland with scattered Acacia and Prosopis trees which give it an appearance of a typical savanna. Tal Chappar Sanctuary comes alive with the chirping of various migratory birds including Montagu’s harrier, marsh harrier, pale harrier, imperial eagle, tawny eagle, short toed eagle