Q. Consider the following statements:
Statement-I: India accounts for 32% 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?

[A] Both Statement-I and Statement-II are correct and Statement-ll is the correct explanation for Statement-I.

[B] Both Statement-I and Statement-II are correct and Statement-l is not the correct explanation for Statement-I.

[C] Statement-l is correct but Statement-II is incorrect.

[D] Statement-I is incorrect but Statement-II is correct.

Answer: D
Notes:

Exp) Option d is the correct answer.

Statement 1 is incorrect: As per the latest data available (Economic Survey 2022-23) India’s accounts for 1.8% of Global export of goods and 4% of global export of services. Thus, India accounts for 3.2% if global exports of goods are not correct.

Statement 2 is correct: Production Linked Incentive (PLI) scheme is a form of Performance-linked incentive given to companies based on their incremental sales from products manufactured in domestic units. It is aimed at boosting the manufacturing sector and to reduce imports of India.

PLI schemes can be availed by both domestic as well as foreign companies operating in India, thus it is true that many domestic and foreign companies operating in India have taken advantage of PLI schemes.

Source: Economic Survey 2022-23 (pg no 315)

https://economictimes.indiatimes.com/news/economy/foreign-trade/indias-exports-in-fy23-to-reach-about-770-billion-minister-anupriya-patel/articleshow/98524918.cms?from=mdr

https://www.pib.gov.in/PressReleasePage.aspx?PRID=1710134

Subject) Economy

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