Topic: Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests.
2. Crafting comprehensive agreements that prioritize inclusive growth, protect domestic industries, and consider social and environmental concerns is essential for maximizing the benefits of Free trade agreements (FTAs) while minimizing potential drawbacks. Examine. (250 words)
Difficulty level: Tough
Reference: Live Mint
Why the question:
External Affairs Minister S Jaishankar discussed the India-UK Free Trade Agreement (FTA) with Britain’s Prime Minister Rishi Sunak and Foreign Secretary David Cameron.
Key Demand of the question:
To write about FTAs, its importance, issues involved in it and ways to overcome it.
Examine – When asked to ‘Examine’, we must investigate the topic (content words) in detail, inspect it, investigate it and establish the key facts and issues related to the topic in question. While doing so we should explain why these facts and issues are important and their implications.
Structure of the answer:
Begin defining what FTAs are.
First, write about the major components of the FTA.
Next, write about the importance of FTA to India – economic growth, eliminate tariff barriers, diversify investments etc.
Next, write about the various issues in FTA negotiation – tariff reduction impacting the entire manufacturing and the agricultural sector; rules on services trade; digital issues such as data localisation; intellectual property rights etc.
Next, suggest ways to overcome the above.
Conclude by writing a way forward.