India Faces WTO Scrutiny Over Agricultural Policies And Export Restrictions

New Delhi, Sep 19 (KNN) India has come under international scrutiny at the World Trade Organisation (WTO) regarding its agricultural policies and export restrictions.

Several countries, including the United States, United Kingdom, Japan, and Canada, have sought clarifications on various aspects of India's trade practices and subsidy programs.

The ban on non-basmati white rice exports, implemented by India in July 2023 due to domestic food security concerns, has drawn particular attention.

WTO members are inquiring about potential plans to lift or ease this restriction, with some nations exploring the possibility of replacing the ban with an export duty.

India has made exceptions to this ban for certain countries, including Nepal, Mauritius, and Namibia.

Canada has raised questions about India's consideration of food security in importing countries when imposing restrictions on wheat exports in May 2022.

This ban was enacted following crop damage from a heatwave, which raised fears of domestic shortages.

Japan has expressed concerns over India's electricity subsidies for farmers, noting a disproportionate increase compared to actual electricity prices.

Australia and Canada have requested information on the criteria for the PM Kisan Samman Nidhi Yojana, an income support program for farmers, as well as support offered by individual states like Odisha and Andhra Pradesh.

India reported providing input subsidies totalling USD 48.13 billion to low-income or resource-poor farmers for the marketing year from October 2022 to September 2023.

According to India's 2015-16 agricultural census, 99.43 percent of farm holdings belong to this category.

The Indian government has recently approved extensions to several schemes, including the Pradhan Mantri Annadata Aay SanraksHan Abhiyan (PM-AASHA), aimed at ensuring fair prices for farmers and regulating price fluctuations in essential commodities.

Additionally, the Bio-RIDE scheme has been approved to support biotechnology research and development.

In response to the unpredictable 2024 monsoon season, which has led to erratic rains, flooding, and crop damage, the government is planning to invest Rs 6,000 crore in smart farming initiatives.

These include the application of artificial intelligence, drones, Internet of Things, and data analysis to enhance agricultural practices.

As India navigates these challenges and scrutiny, the balance between domestic food security, international trade obligations, and agricultural modernisation remains a complex issue for policymakers.

(KNN Bureau)