{"id":84721,"date":"2025-06-01T02:47:12","date_gmt":"2025-06-01T02:47:12","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=84721"},"modified":"2025-06-01T02:47:12","modified_gmt":"2025-06-01T02:47:12","slug":"the-most-favoured-nation-mfn-clause-under-wto-regime-is-based-on-the","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/the-most-favoured-nation-mfn-clause-under-wto-regime-is-based-on-the\/","title":{"rendered":"The Most Favoured Nation (MFN) Clause under WTO regime is based on the"},"content":{"rendered":"<p>The Most Favoured Nation (MFN) Clause under WTO regime is based on the principle of<\/p>\n<p>[amp_mcq option1=&#8221;non-discrimination between nations&#8221; option2=&#8221;discrimination between nations&#8221; option3=&#8221;differential treatment between locals and foreigners&#8221; option4=&#8221;uniform tariff across commodities&#8221; correct=&#8221;option1&#8243;]<\/p>\n<div class=\"psc-box-pyq-exam-year-detail\">\n<div class=\"pyq-exam\">\n<div class=\"psc-heading\">This question was previously asked in<\/div>\n<div class=\"psc-title line-ellipsis\">UPSC CDS-1 &#8211; 2017<\/div>\n<\/div>\n<div class=\"pyq-exam-psc-buttons\"><a href=\"\/pyq\/pyq-upsc-cds-1-2017.pdf\" target=\"_blank\" class=\"psc-pdf-button\" rel=\"noopener\">Download PDF<\/a><a href=\"\/pyq-upsc-cds-1-2017\" target=\"_blank\" class=\"psc-attempt-button\" rel=\"noopener\">Attempt Online<\/a><\/div>\n<\/div>\n<section id=\"pyq-correct-answer\">\nThe Most Favoured Nation (MFN) clause under the WTO regime is based on the principle of non-discrimination between nations.<br \/>\n<\/section>\n<section id=\"pyq-key-points\">\nThe 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.<br \/>\n<\/section>\n<section id=\"pyq-additional-information\">\nThis principle is enshrined in Article I of the General Agreement on Tariffs and Trade (GATT), which is a key part of the WTO agreements. While there are certain exceptions allowed (e.g., Regional Trade Agreements like Free Trade Areas or Customs Unions, and provisions for developing countries), the core principle of MFN is non-discrimination among members.<br \/>\n<\/section>\n","protected":false},"excerpt":{"rendered":"<p>The Most Favoured Nation (MFN) Clause under WTO regime is based on the principle of [amp_mcq option1=&#8221;non-discrimination between nations&#8221; option2=&#8221;discrimination between nations&#8221; option3=&#8221;differential treatment between locals and foreigners&#8221; option4=&#8221;uniform tariff across commodities&#8221; correct=&#8221;option1&#8243;] This question was previously asked in UPSC CDS-1 &#8211; 2017 Download PDFAttempt Online The Most Favoured Nation (MFN) clause under the WTO &#8230; <\/p>\n<p class=\"read-more-container\"><a title=\"The Most Favoured Nation (MFN) Clause under WTO regime is based on the\" class=\"read-more button\" href=\"https:\/\/exam.pscnotes.com\/mcq\/the-most-favoured-nation-mfn-clause-under-wto-regime-is-based-on-the\/#more-84721\">Detailed Solution<span class=\"screen-reader-text\">The Most Favoured Nation (MFN) Clause under WTO regime is based on the<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1087],"tags":[1101,1226],"class_list":["post-84721","post","type-post","status-publish","format-standard","hentry","category-upsc-cds-1","tag-1101","tag-external-sector-of-economy","no-featured-image-padding"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.2 (Yoast SEO v23.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The Most Favoured Nation (MFN) Clause under WTO regime is based on the<\/title>\n<meta name=\"description\" content=\"The Most Favoured Nation (MFN) clause under the WTO regime is based on the principle of non-discrimination between nations. 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. 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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. 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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.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/exam.pscnotes.com\/mcq\/the-most-favoured-nation-mfn-clause-under-wto-regime-is-based-on-the\/","og_locale":"en_US","og_type":"article","og_title":"The Most Favoured Nation (MFN) Clause under WTO regime is based on the","og_description":"The Most Favoured Nation (MFN) clause under the WTO regime is based on the principle of non-discrimination between nations. 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. 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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. 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