Statement — Although India is still heavily dependent on agriculture, its share in global agricultural trade is low and even less than agriculture’s share in India’s total exports.\n\nCourses of Action —\nI. Efforts should be made to increase agricultural production.\nII. The exports of non-agricultural commodities should be reduced.

Difficulty: Medium

Correct Answer: if only I follows

Explanation:


Introduction / Context:
The statement highlights an export-composition gap: agriculture is central domestically but under-represented in global trade from India. Remedies should aim at competitiveness, quality, scale, and market access for farm goods—not at arbitrarily suppressing other export sectors.



Given Data / Assumptions:


  • Status: agriculture is vital domestically; agri share in global trade is low.
  • COA I: raise agricultural production (implicitly with quality, logistics, and standards).
  • COA II: reduce non-agricultural exports.


Concept / Approach:
A valid action should expand capacity/competitiveness in the underperforming segment. Increasing agricultural production (I), if coupled with quality control, infrastructure, and export standards, directly increases the potential exportable surplus and improves global presence. Reducing non-agri exports (II) does nothing to raise agri competitiveness; it merely distorts totals and could harm the broader economy, jobs, and foreign exchange.



Step-by-Step Solution:


1) Identify target: increase agri share in global trade.2) Action I expands supply base and potential export volume → relevant.3) Action II shrinks other sectors → irrelevant/harmful to objective.4) Conclude only I follows.


Verification / Alternative check:
Even if non-agri exports grow, a competitive agri sector can still raise its share by growing faster; cutting others is not a rational lever.



Why Other Options Are Wrong:


Only II/Either/Both: incorrectly treat suppression as a strategy.Neither: ignores the sensible supply-side remedy in I.


Common Pitfalls:
Confusing relative share with absolute volumes; a sector’s share rises by its own growth, not by damaging others.



Final Answer:
Only I follows.

More Questions from Course of Action

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