The Memorandum of Understanding between India`s Director General of Trade Remedies and Bangladesh`s Trade and Tariff Commission was accepted by the Union Cabinet. The agreement was signed in order to extend cooperation in the trade remedy sector. On March 27, 2021, the agreement was signed.

 

 

♦ The agreement`s goals are to facilitate information exchange, alternative therapies, and other activities in compliance with World Trade Organization rules.

♦ In general, the agreement focused on countervailing, anti-dumping, and protectionism in the bilateral trade dispute between India and Bangladesh.

♦ Import tariffs are known as countervailing duties, or CVDs. They are imposed to counteract the negative effects of subsidies. CVDs are also known as anti-subsidy duties.

♦ Let`s say a nation discovers that another country is subsidising its imports. This will wreak havoc on domestic suppliers. As a result, the home country will place responsibilities on such products in order to protect its domestic suppliers. These duties are imposed solely in accordance with WTO laws.

♦ On the exporting nation, countervailing obligations are levied on subsidised goods. Anti-dumping obligations, on the other hand, are imposed on low-cost imports.

♦ Consider the possibility that China is exporting silicon wafers to India.

♦ Case 1: The Chinese government provides subsidies to silicon wafer producers. It is now known as countervailing duties when India imposes import tariffs.

♦ Case 2: The Chinese government does not offer any incentives for silicon wafers. However, the exporter is marketing the product at a very low cost. When India imposes a duty, it is referred to as anti-dumping duties.

A memorandum of understanding was signed by Spices Board India and UNDP India Accelerator Laboratory to establish a blockchain-based traceability interface for Indian spices. 

 

 

♦ The MOU aims to create a blockchain-based traceability interface for Indian spices in order to increase supply chain and trade transparency. 

♦ A decentralised mechanism for documenting transactions on a transparent and shared electronic ledger is known as blockchain. 

♦ This simplifies the supply chain by making data processing simple and transparent across diverse networks (including producers, brokers, dealers, processors, retailers, regulators, and consumers). 

♦ It will give farmers the same access to knowledge as the rest of the supply chain, making the whole system more productive and equal. 

♦ The Spices Board of India is collaborating with the United Nations Development Programme to incorporate the blockchain traceability interface with the Spices Board of India`s e-Spice Bazaar portal, which connects spice growers to the market. 

♦ The project will be piloted among more than 3,000 farmers engaged in pepper and turmeric planting in parts of Andhra Pradesh. 

♦ Consumer confidence is expected to rise as a result of the traceability interface, which is expected to encourage the purchasing of value-added and used fragrances for export and domestic use.