Consider the following statements:

Statement-I: India accounts for 3.2% of global export of goods

Statement-II: Many local companies and some foreign companies operating in India have taken advantage of India's 'Production-linked Incentive' scheme.

Which one of the following is correct in respect of the above statements?

Question

Question

This question was previously asked in

UPSC Civil Services Prelims 2023: General Studies (SET - A - Held on 28 May)

Both Statement-I and Statement-II are correct and Statement-II is the correct explanation for Statement-I
Both Statement-I and Statement-II are correct and Statement-II is not the correct explanation for Statement-I
Statement-I is correct but Statement-ll is incorrect
Statement-I is incorrect but Statement-ll is correct

Answer 1

The correct answer is Option 4.

Key PointsIndia's Exports of goods:

As per the WTO data released in April 2019, for the year 2018, India’s share in global exports for merchandise was 1.7 % and in global imports was 2.6 %.
For the year 2018 for service sector, India’s share in global exports was 3.5 % and imports was 3.2 %.Hence statement I is incorrect.

Production Linked Incentive (PLI) scheme:

The Production Linked Incentive (PLI) scheme is an initiative introduced by the Government of India to boost domestic manufacturing in various sectors and promote India as a global manufacturing hub.
The scheme aims to attract investments, generate employment, and enhance exports by providing financial incentives to eligible companies.

The scheme's primary objectives include:
- Attracting investment
- Enhancing production capabilities
- Generating employment
- Promoting exports
Many local companies and some foreign companies operating in India have taken advantage of India's 'Production-linked Incentive' scheme. Hence statement II is correct.