UPSC Prelims 2002 · General Studies
Question 85: Economy and Social Development
With reference to the public Sector Undertaking in India, consider the following statements:
- 1.Minerals and Metals Trading Corporation of India Limited is the largest non-oil importer of the country.
- 2.Project and Equipment Corporation of India Limited is under the Ministry of Industry.
- 3.One of the objectives of Export Credit Guarantee Corporation of India Limited is to enforce quality control and compulsory pre-shipment inspection of various exportable commodities
Which of these statements is/are correct?
AnswerThe answer is (a).
Statement 1 is true: MMTC (Minerals and Metals Trading Corporation) is described as the country's largest non-oil importer. Statement 2 is false: the Projects and Equipment Corporation (PEC) comes under the Commerce Ministry, not Industry. Statement 3 is false: ECGC insures exporters against credit risk; quality control and compulsory pre-shipment inspection is the work of the Export Inspection Council.
- 1. MMTC is the country's largest non-oil importer.
- 2. PEC is under the Ministry of Commerce, not Industry.
- 3. ECGC covers export credit risk; inspection is the Export Inspection Council's job.
How you could have got this
- If you were sure statement 1 is correct, (c) and (d) go: each of them leaves 1 out.
What you needed to know: MMTC is the country's largest non-oil importer.
- Then, if you were sure statement 2 is not correct, (b) goes: it includes 2.
What you needed to know: PEC is under the Ministry of Commerce, not Industry.
Only (a) is left. You didn’t need statement 3.
This follows an unofficial answer: UPSC has not published its key for this year, and if that answer is wrong, so is this path.
Which options go is worked out from UPSC’s key and the options, not by a model.
Why each option is right or wrong
- (a) Right: statement 1 only.
- (b) Includes statement 2, which is false: PEC is under Commerce.
- (c) Statements 2 and 3 are both false.
- (d) Statement 3 is false: ECGC insures export credit.
Explanation: written by UPSC Grade, not by UPSC.
Source: UPSC, Civil Services (Preliminary) Examination 2002, General Studies. UPSC's own paper isn't online; the words are from a published compilation. The paper on upsc.gov.in.