UPSC Prelims 2006 · General Studies
Question 46: Economy and Social Development
Consider the following statements:
- 1.The agreement on South Asian Free Trade Area (SAFTA) came into effect from 1st December 2005.
- 2.As per SAFTA agreement terms, India, Pakistan and Sri Lanka have to decrease their custom duties to the level of 0 % to 5 % by the year 2013.
Which of the statements given above is/are correct?
AnswerThe answer is (b).
The SAFTA agreement was signed in January 2004 and came into force on 1 January 2006, not 1 December 2005, so statement 1 is false. Under the agreement the non-least-developed members, India, Pakistan and Sri Lanka, were to bring tariffs down to 0-5 per cent within seven years, that is by 2013, while the least developed members were given longer. Statement 2 is correct.
- 1. SAFTA came into force on 1 January 2006.
- 2. India, Pakistan and Sri Lanka were to bring tariffs to 0-5 per cent by 2013.
How you could have got this
- If you were sure statement 1 is not correct, (a) and (c) go: each of them includes 1.
What you needed to know: SAFTA came into force on 1 January 2006.
- Then, if you were sure statement 2 is correct, (d) goes: it leaves 2 out.
What you needed to know: India, Pakistan and Sri Lanka were to bring tariffs to 0-5 per cent by 2013.
Only (b) is left. This one needs every statement.
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) Statement 1 is false: SAFTA took effect on 1 January 2006.
- (b) Correct: only statement 2 holds.
- (c) Statement 1 fails on the date.
- (d) Statement 2 is true.
Explanation: written by UPSC Grade, not by UPSC.
Source: UPSC, Civil Services (Preliminary) Examination 2006, General Studies. UPSC's own paper isn't online; the words are from a published compilation. The paper on upsc.gov.in.