The Most Favoured Nation (MFN) Clause under WTO regime is based on the principle of
non-discrimination between nations
discrimination between nations
differential treatment between locals and foreigners
uniform tariff across commodities
Answer is Right!
Answer is Wrong!
This question was previously asked in
UPSC CDS-1 – 2017
The MFN principle means that if a country grants a trade concession or advantage to one trading partner (WTO member), it must grant the same treatment to all other WTO members. For example, if a country reduces its tariff on imports of cars from one member country, it must reduce the tariff on car imports from all other WTO members to the same level. This ensures that trade barriers are lowered uniformly for all members, fostering a level playing field.