FREE Video based Current Affairs For competitive exams Click Here

Memorandum of Understanding Current Affairs April 3rd Week 2021

The Cabinet has approved India-Bangladesh trade cooperation:

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.



Memorandum of Understanding Current Affairs April 3rd Week 2021

Copyright © 2020 All Rights Reserved |