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Answer: Government policies decide who gains and who loses from globalisation. When a country opens its markets, the state must protect and prepare its people to compete. In India, the government has used tariffs on certain imports like cars to protect infant industries from being crushed by bigger foreign firms. It also supports farmers through Minimum Support Price (MSP) so they are not forced to sell at a loss due to cheap imports. Labour laws require safe workplaces and fair wages even when MNCs operate in India, preventing exploitation. Policies like “Make in India” and “Vocal for Local” promote domestic manufacturing, while Special Economic Zones (SEZs) help exports. Together, these policies ensure that the benefits of globalisation are shared, not captured only by the rich or big companies.
Answer: Fair trade means trade that is ethical, transparent, and just for all participants, especially producers and workers in developing countries. In a globalised world, rich countries may give subsidies to their industries, which makes their goods cheaper and harms producers in poorer countries. Fair trade practices ensure fair prices, safe working conditions, and environmental care. For example, chocolates with the “Fair Trade” label guarantee that cocoa farmers receive fair payment and work in safe environments. India sometimes imposes anti-dumping duties on items like Chinese steel to prevent unfair underpricing that can destroy local industry. Fair trade also encourages consumer responsibility, where people choose products that are fair to workers and do not harm nature. Thus, fair trade makes globalisation inclusive, humane, and sustainable.
Answer: The World Trade Organization (WTO) sets rules for international trade and helps countries resolve disputes. It promotes predictability and non-discrimination (like the Most Favoured Nation principle) so that all members follow similar rules. If one country blocks imports unfairly, the affected country can complain to the WTO. For instance, India could challenge a US ban on Indian shrimps, or the USA challenged India’s local content rule in solar projects. The WTO’s strength lies in its dispute settlement system and in reducing trade barriers. However, it has limitations. Rich countries often have more influence, and developing nations may struggle to defend their interests. Some rules, like the ban on local content requirements, can restrict a country’s ability to protect new industries. Therefore, the WTO promotes fairness, but its outcomes may still favour powerful economies.
Answer: To protect vulnerable groups, the government and society must provide safety nets and opportunities. For farmers, MSP protects against price crashes, and crop insurance reduces risk from weather or market shocks. Easy credit through schemes like Mudra Yojana helps small entrepreneurs start or grow businesses. Cooperatives like Amul allow small producers to bargain collectively, get better prices, and access markets. Skill training, digital literacy, and market linkages (e-commerce) help artisans and workers upgrade and sell better. Labour laws ensure fair wages, safe workplaces, and no child labour, even when big MNCs operate. NGOs and self-help groups can train people and improve access to finance. These measures help vulnerable groups compete, earn fairly, and benefit from globalisation instead of being pushed out.
Answer: A country can ensure fair distribution by combining pro-growth and pro-people policies. First, invest in education, health, and skills so people can get better jobs in a global market. Encourage domestic industry through “Make in India”, SEZs, and technology support to help firms compete globally. Use competition laws to prevent monopolies so that one or two big companies do not capture the entire market. Promote “Vocal for Local” to boost demand for Indian-made products and protect micro, small, and medium enterprises (MSMEs). Ensure labour rights, minimum wages, and social security so workers share the gains. Support farmers through MSP, storage, and value addition. Finally, focus on backward regions to reduce inequality. This balanced approach spreads the benefits of globalisation widely and fairly.
Answer: Globalisation created millions of jobs in the garment industry in countries like India and Bangladesh, as global brands outsourced production. This boosted exports and incomes. However, it also led to issues like low wages, long hours, unsafe conditions, and pressure to cut costs. To make the sector fair, brands should follow ethical sourcing with strict audits on safety, wages, and working hours. Governments must enforce labour laws and provide social security. Factories should invest in skill upgradation and technology, increasing productivity without exploiting workers. Consumers can choose brands that follow fair trade commitments. Unions and worker committees can ensure voice at the workplace. With these steps, the garment industry can remain competitive while being humane and sustainable.
Answer: A balanced response should combine short-term protection and long-term competitiveness. In the short term, impose anti-dumping or countervailing duties after a proper investigation, as allowed by WTO rules, to counter unfair pricing or subsidies. Use temporary safeguards if imports cause serious injury. In the medium term, support firms to upgrade through technology adoption, energy efficiency, and quality certification. Facilitate cheap credit and working capital for MSME suppliers. Improve logistics and port efficiency to cut costs. Encourage domestic demand through infrastructure projects using quality standards that imported low-grade steel cannot easily meet. Ensure labour safety and environmental compliance so competition does not become a race to the bottom. This mix shields industry lawfully while building real competitiveness.
Answer: Even without local content requirements, India can strengthen solar through WTO-compliant tools. Offer production-linked incentives (PLI) tied to output and efficiency, not local content. Provide research and development grants for high-efficiency cells, storage, and recycling. Create green financing with low-interest loans and credit guarantees for manufacturers. Use standards and certification to reward quality and durability, which domestic firms can meet with support. Aggregate public demand via transparent tenders that value lifecycle costs, after-sales service, and reliability, not just the lowest price. Build solar parks, improve grid integration, and invest in skilling. Promote export markets through trade agreements and branding. These steps grow the ecosystem while respecting global trade rules.
Answer: Begin with a price safety net: ensure MSP is effectively implemented with adequate procurement and storage. Where WTO rules permit, consider tariffs or safeguards against dumped or subsidised imports. Reduce costs through subsidised inputs, soil health cards, precision farming, and irrigation support. Promote diversification into higher-value crops, millets, pulses, and horticulture to reduce wheat dependence. Organise Farmer Producer Organisations (FPOs)/cooperatives for collective bargaining, storage, and direct market linkages. Encourage value addition—flour milling, branded atta, or ready-to-eat products. Provide crop insurance, easy credit, and digital platforms for real-time prices. Invest in rural roads, cold chains, and warehousing. Training in quality standards and contract farming can further improve income. This integrated plan protects farmers today and makes them competitive tomorrow.
Answer: Use a fair distribution dashboard combining economic, social, and regional indicators: