UPSC Essentials | Mains answer practice — GS 2: Questions on India–US agricultural trade negotiations and unified welfare state (Week 115)

QUESTION 1

Discuss how a federated, rights-based and digitally integrated social security model can address systemic inefficiencies and transform welfare delivery in India.

QUESTION 2

Discuss the strategic considerations and political challenges surrounding India–US agricultural trade negotiations.

General points on the structure of the answers

Introduction

— The introduction of the answer is essential and should be restricted to 3-5 lines. Remember, a one-liner is not a standard introduction.

— It may consist of basic information by giving some definitions from the trusted source and authentic facts.

Body

— It is the central part of the answer and one should understand the demand of the question to provide rich content.

— The answer must be preferably written as a mix of points and short paragraphs rather than using long paragraphs or just points.

— Using facts from authentic government sources makes your answer more comprehensive. Analysis is important based on the demand of the question, but do not over analyse.

QUESTION 1: Discuss how a federated, rights-based and digitally integrated social security model can address systemic inefficiencies and transform welfare delivery in India.

Note: This is not a model answer. It only provides you with thought process which you may incorporate into the answers.

Introduction:

— The International Labour Organization’s Director-General recently praised India’s “cash and non-cash” social security programs. The latest ILO-Phase II survey for India revealed that its schemes benefit more than 100 crore people. This milestone is the culmination of various initiatives initiated by both the federal and state governments.

— The ILO’s World Social Protection Report (2021) first assessed India’s coverage at 24.4%, but revised it to 48.8% after the government highlighted the scope of state-level programs.

Body:

You may incorporate some of the following points in your answer:

— The pressing task is to optimise distributed plans. This includes removing duplications, identifying the appropriate beneficiaries, and investing in capacity development and market-ready skill sets for our workforce.

— The G20 New Delhi Declaration demands for “sustainably financed universal social protection coverage”. “One Nation, One Social Security Governance” offers a promising road forward. It can fix current inefficiencies in order to make the greatest use of limited budgetary resources while sparing citizens the discomfort of running between government departments. For example, E-Shram registrations are intended for unorganised workers, whereas EPFO registrations mostly cover formal employment. They compete with one another and generate troublesome boundaries when they overlap.

— Central legislation such as the Employees’ Provident Funds & Miscellaneous Provisions Act, Employees’ Compensation Act, ESIC Act, BOCW, and Maternity Benefit Act provide security to workers beyond federal borders. Our Constitution permits states to create comparable schemes in their respective jurisdictions.

— These institutions can be improved to transition to a “one government” welfare system, in which states work together to add value rather than recreating the wheel.

Conclusion:

— Our collective resolve to be “Viksit Bharat” by 2047 depends upon several factors. One of them is financial security in old age. Cash transfers planned by any unit of the government can be routed through the UAN of the EPFO. A certain percentage of such “transfers” can be used for Provident Fund, pension and insurance.

(Source: Why India needs a unified welfare state)

Points to Ponder

Read more about “sustainably financed universal social protection coverage”.

Read about ILO’s World Social Protection Report

Related Previous Year Questions

“The USA is facing an existential threat in the form of China, that is much more challenging than the erstwhile Soviet Union.” Explain. (2021)

‘Indian diaspora has a decisive role to play in the politics and economy of America and European Countries’. Comment with examples. (2020)

QUESTION 2: Discuss the strategic considerations and political challenges surrounding India–US agricultural trade negotiations.

Note: This is not a model answer. It only provides you with thought process which you may incorporate into the answers.

Introduction:

— The Indian Prime Minister’s remark that India will never compromise the interests of its farmers, livestock rearers, and fishermen is the most direct representation of the red lines his government has drawn in the now-stalled trade discussions with the United States.

— There were difficulties in opening India’s domestic market to US farm produce, including GM maize and soybeans, fuel ethanol, and dairy products.

Body:

You may incorporate some of the following points in your answer:

— The imposition of a 50 per cent duty on Indian imports — inclusive of a 25 per cent levy as “penalty” for purchase of oil from Russia — has narrowed the Indian government’s space for give-and-take that is part of the process to clinch any trade deal.

— The US also wants India to allow imports of ethanol for use as a biofuel. Currently, only ethanol derived from domestically cultivated sugarcane, maize and rice is used to blend up to 20% with fuel.

— Unsurprisingly, Indian farmer associations are concerned that allowing imports of GM maize and soyabean from the United States may cause a drop in domestic pricing. They believe that such an openness is unfair, given that the cultivation of genetically modified crops (other than cotton) is not permitted in India.

— The Indian dairy industry is strongly opposed to the import of milk powder, butter oil, and cheese under any free trade deal, whether with the United States, the European Union, New Zealand, or Australia.

— There is also a requirement, which the US asserts is solely based on religious and cultural considerations, that all imported dairy products be sourced from animals that have not been given any composition including animal internal organs, bone meal, or tissues.

— The threat is primarily about exports rather than imports. India’s seafood exports to the United States were valued at $2.48 billion in 2024, with a 32.5% increase recorded in the first six months of the year. This is especially true given that rival countries such as Chile, Ecuador, Indonesia, and Vietnam have substantially lower tariffs ranging from 10% to 20%.

Conclusion:

— India has significant potential to increase exports of seafood, basmati rice, spices, and essential oils to the United States, and it may need to import maize and soyabean for poultry and cattle at some point.

— The two countries’ farm produce trade is increasing. Based on trends from January to June, both exports from India to the US and from the latter to the former are expected to reach new highs in 2025. The dramatic increase in India’s purchases of Californian almonds and pistachios, as well as frozen prawn shipments from Andhra Pradesh and Odisha to the United States, demonstrate the benefits of comparative advantage that both countries may receive in agriculture.

(Source: Why PM Modi spoke of farmers, livestock rearers & fisherfolk amid US trade talks, For India and US, agricultural trade could be a win-win option)

Points to Ponder

Read more about India-US trade

Read about recent tariff on India by the United States

Related Previous Year Questions

“Development and welfare schemes for the vulnerable, by its nature, are discriminatory in approach.” Do you agree? Give reasons for your answer. (2023)

Besides the welfare schemes, India needs deft management of inflation and unemployment to serve the poor and the underprivileged sections of the society. Discuss. (2022)

Previous Mains Answer Practice

UPSC Essentials: Mains answer practice — GS 3 (Week 114)

UPSC Essentials: Mains answer practice — GS 3 (Week 115)

UPSC Essentials: Mains answer practice — GS 2 (Week 114)

UPSC Essentials: Mains answer practice — GS 2 (Week 113)

UPSC Essentials: Mains answer practice — GS 1 (Week 114)

UPSC Essentials: Mains answer practice — GS 1 (Week 113)

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