'Broad-based Trade and Investment Agreement (BTIA)' is sometimes seen in the news in the context of

Q: What is UPSC Prelims?

UPSC Prelims is a competitive examination conducted in India. This question is from the 2017 UPSC Prelims Economy paper.

Q: How can I prepare for UPSC Prelims Economy?

To prepare for UPSC Prelims Economy, practice previous year questions (PYQs), understand concepts thoroughly, and solve mock tests regularly. This 2017 question covers Foreign Trade Policy – Exports, Imports & WTO topic.

Q: What is the difficulty level of this question?

This UPSC Prelims 2017 Economy question has a easy difficulty level and is marked as an important question.

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You can find more UPSC Prelims previous year questions on AspirantMitraa. Browse by subject, topic, year, and difficulty level to practice effectively.

Question

'Broad-based Trade and Investment Agreement (BTIA)' is sometimes seen in the news in the context of negotiations held between India and

Accepted Answer

Correct Answer: A — European UnionSolution:The Broad-based Trade and Investment Agreement (BTIA) is the Free Trade Agreement (FTA) being negotiated between India and the European Union (EU). Negotiations began in 2007 but stalled in 2013 after 16 rounds without conclusion. Key sticking points include: India's demands for greater visa access and movement of professionals; EU's demands for greater market access in sectors like automobiles, wines, spirits, and dairy; and disputes over Bilateral Investment Treaties (BITs) — the EU raised concerns over India's 'unilateral termination' of BITs with several EU member states. The BTIA covers trade in goods, services, investment, and intellectual property rights.Why other options are incorrect:Option B (GCC): India has separate trade negotiations with the Gulf Cooperation Council but these are not called BTIA.Option C (OECD): India is not a full OECD member and is not negotiating a BTIA with it.Option D (SCO): India's engagement with the SCO (Shanghai Cooperation Organisation) is primarily on security and political cooperation — not a BTIA.Key Concept: The India-EU BTIA, if concluded, would be one of the largest FTAs in the world, given that the EU is India's largest trading partner bloc. Key contentious issues include: Mode 4 services (movement of natural persons — India's primary demand), data protection standards, automobile tariffs (EU demand), and pharmaceutical pricing. Negotiations resumed in 2022 after nearly a decade-long pause. The agreement would significantly impact Indian IT/ITES exports to Europe and European auto and luxury goods exports to India.

'Broad-based Trade and Investment Agreement (BTIA)' is sometimes seen in the news in the context of negotiations held between India and

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'Broad-based Trade and Investment Agreement (BTIA)' is sometimes seen in the news in the context of negotiations held between India and

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