India resorted to the Peace Clause for rice procurement at the WTO

Internationaldesk:
India has once again resorted to the World Trade Organization (WTO) Peace Clause to ensure its food security and provide additional support to rice farmers.  India used the Peace Clause at the World Trade Organization (WTO) for the fifth consecutive time in 2022-23 (October-September) for violating the subsidy limit for rice.

 The Peace Clause is a temporary World Trade Organization solution that protects the food procurement programs of developing countries from action by WTO members in the event of violations of subsidy limits.

 India has informed the WTO that the total value of rice production in India in 2022-23 was $52.8 billion, while farmers were subsidized to the tune of $6.39 billion.  This means that the rice subsidy was 12 per cent of the value of production, violating the 10 per cent subsidy limit.