Question

Q. With reference to the World Trade Organization Agreement on Agriculture (AoA), consider the following statements:

Select the correct answer using the codes given below:

• A. 1 only
• B. 2 and 3 only
• C. 1 and 3 only
• D. 1, 2 and 3

Answer 1

The correct option is C 1 and 3 only

Explanation:

Statement 1 is correct: The Agreement on Agriculture (AoA) is a WTO treaty that was negotiated during the Uruguay Round of the General Agreement on Tariffs and Trade (GATT) and formally ratified in 1994 at Marrakesh, Morocco.

• The primary objective of the Agreement is to reform the principles of, and disciplines on, the agricultural policy as well as to reduce the distortions in agricultural trade caused by agricultural protectionism and domestic support.s.
• According to the WTO, the overall aim of the Agreement is “to establish a fairer trading system that will increase market access and improve the livelihoods of farmers around the world.”

Statement 2 is incorrect: The Agreement covers products that are normally considered part of agriculture but excludes forestry and fishery products and also rubber, sisal, jute, coir, and abaca.

Statement 3 is correct:

The three main pillars of AoA are:

• Market Access
• Domestic Support, and
• Export Subsidies