With termination of export subsidies, is India overstaying its US welcome?

The US over last eight years made two allegations, one of them being India cannot provide export subsidies because it is no longer a low-income developing country.

In May 2018, the World Trade Organisation (WTO) set up a panel to investigate the US’s allegations against certain export subsidy schemes in India.

The US has over the last eight years made two primary allegations – first, India cannot provide export subsidies because it is no longer a low-income developing country. And second, India is required to phase out its export subsidies in the textiles sector, in which it has achieved export competitiveness in 2010.

Do these allegations have merit and what is likely to be the fate of India’s export subsidy regime?

What makes India special?

As a rule, subsidies contingent on