Statement — Although India’s economy remains heavily dependent on agriculture, its share in global agricultural trade is low compared with the share of agricultural exports in India’s total exports. Courses of Action: I. Efforts should be made to increase agricultural production. II. Exports of non-agricultural commodities should be reduced.
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AOnly I follows
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BOnly II follows
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CNeither I nor II follows
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DBoth I and II follow
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EEither I or II follows
Answer
Correct Answer: Only I follows
Explanation
Introduction / Context:The statement highlights a paradox: high domestic reliance on agriculture but a relatively low share in global agri-trade. Remedies should enhance competitiveness and output rather than constrain other export categories.
Given Data / Assumptions:
- Observation: India’s global agri-trade share is low.
- COA I: Increase agricultural production (and quality, value add).
- COA II: Reduce non-agricultural exports.
Concept / Approach:Improving the agri-trade share should come from better productivity, quality, value addition, compliance, and market access. Artificially cutting non-agri exports (II) damages the broader economy and does not raise agri competitiveness.
Step-by-Step Solution:1) I directly addresses supply/competitiveness constraints → sensible and constructive.2) II is perverse; reducing other exports to improve a ratio harms growth and employment and does not solve agri bottlenecks.
Verification / Alternative check:Countries raise sectoral trade shares by upgrading the sector, not by crippling others.
Why Other Options Are Wrong:II alone or combined is counterproductive. “Neither” ignores the valid pathway in I.
Common Pitfalls:Confusing ratio management with real competitiveness.
Final Answer:Only I follows.