Question

Whether the financial benefits transferred to farmers under the Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) scheme are exempted from reduction commitments under WTO? If yes, name the domestic support exemption box (Amber, Blue, Green, Development).

• A. Yes, Green box
• B. No (Not exempted)
• C. Yes, Amber box
• D. Yes, Development box

Hint:

PM-KISAN: Green box (WTO) – direct income support, no trade distortion.

Answer 1

The Correct Option is A

Step 1: WTO Green box needs government-funded, non price-distorting, production-decoupled support.
Step 2: PM-KISAN pays a fixed amount per farmer regardless of crop or output.
Step 3: This satisfies the decoupled-income-support criterion for the Green box.
\[ \boxed{\text{Yes, Green box, Option (1)}} \]