Agricultural Trade & Food Security
Agriculture
- PYQs8
- Articles1
Background
Understanding the dynamics of agricultural trade is vital for analyzing global food security challenges, the impact of geopolitical events on commodity markets, India's role as an agricultural producer and exporter, and the use of food as a foreign policy instrument.
Agricultural trade involves the international exchange of food and agricultural products, playing a crucial role in global food security, economic development, and diplomatic relations. Food security, in turn, refers to the availability of sufficient, safe, and nutritious food for all people at all times.
Facts & tables
- Strategic Importance
- Food can be used as a diplomatic tool or leverage in international negotiations and disputes.
- Impact of Sanctions
- Sanctions can disrupt agricultural supply chains, affecting food availability and prices in target countries and globally.
- Global Suppliers
- Major agricultural exporters include countries like the US, Brazil, India, EU, Canada, Australia, and Argentina.
- Food Security Dimensions
- Encompasses availability, access, utilization, and stability of food supply.
| Type | Reference |
|---|---|
| Conceptual area | International Relations |
| Conceptual area | Indian Economy |
| Body | Role |
|---|---|
| International Food Policy Research Institute (IFPRI) | Researches |
Prelims angle
Prelims angle: Factual recall
Prelims angle: Institutional roles and functions
- International exchange of food products.
- Crucial for global food security.
- Can be a diplomatic leverage.
- Vulnerable to sanctions and geopolitical events.
- India's role as producer/exporter.
| Year | Framing tags |
|---|---|
| 2026 | Factual recall, Terminology-based question |
| 2025 | Multi-statement analysis, Factual recall |
| 2025 | Statement-based questions, Factual recall |
| 2024 | Multi-statement analysis, Institutional roles and functions |
| 2021 | Factual recall, Institutional roles and functions |
| 2020 | Conceptual understanding, Multi-statement analysis |
| 2020 | Multi-statement analysis, Conceptual understanding |
| 2020 | Multi-statement analysis, Factual recall |
Timeline
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International Relations
Conceptual area
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Indian Economy
Conceptual area
-
Prelims 2020
Conceptual understanding, Multi-statement analysis
-
Prelims 2020
Multi-statement analysis, Conceptual understanding
-
Prelims 2020
Multi-statement analysis, Factual recall
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Prelims 2021
Factual recall, Institutional roles and functions
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Prelims 2024
Multi-statement analysis, Institutional roles and functions
-
Prelims 2025
Multi-statement analysis, Factual recall
-
Prelims 2025
Statement-based questions, Factual recall
-
Prelims 2026
Factual recall, Terminology-based question
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Trump administration touts deal with Iran as payday for U.S. farmers; Tehran denies it
Agricultural trade is key to global food security, but can be impacted by geopolitical events and used as a diplomatic tool, affecting supply chains and international relations.
See also
No related topics linked yet.
Past papers
2020–2026 · 8 questions
In the news
Trump administration touts deal with Iran as payday for U.S. farmers; Tehran denies it
Agricultural trade is key to global food security, but can be impacted by geopolitical events and used as a diplomatic tool, affecting supply chains and international relations.
Try these PYQs
In the context of India’s preparation for Climate-smart Agriculture, consider the following statements:
1. The ‘Climate-Smart Village’ approach in India is a part of a project led by the Climate Change, Agriculture and Food Security (CCAFS), an international research programme.
2. The project of CCAFS is carried out under Consultative Group on International Agricultural Research (CGIAR) headquartered in France.
3. The International Crops Research Institute for the Semi-Arid Tropics (ICRISAT) in India is one of the CGIAR’s research centres.
Which of the statements given above are correct?
Statement 1 is correct. The Climate-Smart Village (CSV) approach is an initiative under the CCAFS program, which focuses on improving climate resilience in agriculture through research and innovation. CCAFS operates in multiple countries, including India, and works on sustainable farming practices, resource efficiency, and climate adaptation strategies in rural areas. Statement 2 is correct. CCAFS is a global research initiative under the Consultative Group on International Agricultural Research (CGIAR), which is a network of international agricultural research organizations. However, CGIAR’s global headquarters is in Montpellier, France, making the statement factually accurate. Statement 3 is correct. ICRISAT, based in Hyderabad, India, is a major research institute focusing on improving dryland agriculture. It is indeed one of the CGIAR’s 15 global research centers, working on climate resilience, crop improvement, and food security in semi-arid regions.
In India, which of the following can be considered as public investment in agriculture?
1. Fixing Minimum Support Price for agricultural produce of all crops
2. Computerization of Primary Agricultural Credit Societies
3. Social Capital development
4. Free electricity supply to farmers
5. Waiver of agricultural loans by the banking system
6. Setting up of cold storage facilities by the governments
Select the correct answer using the code given below:
Public investment in agriculture refers to government expenditures aimed at improving the agricultural sector, including infrastructure development, technological improvements, and providing institutional support. Statement 1 is incorrect: Fixing the Minimum Support Price (MSP) is a policy decision, not an investment. While it affects the agricultural sector, it is not a direct public investment in terms of capital expenditure. Statement 2 is correct: The computerization of Primary Agricultural Credit Societies (PACS) is a public investment because it involves government funds directed towards modernizing agricultural credit systems, enhancing efficiency, and accessibility for farmers. Statement 3 is correct: Social Capital development is a public investment in agriculture, as it involves building networks and community-based resources that help farmers improve productivity and access to resources. Statement 4 is incorrect: Free electricity supply is more of a subsidy, not a direct public investment in the form of capital expenditure. Statement 5 is incorrect: Waiver of agricultural loans is a policy measure aimed at alleviating farmer debt but does not qualify as an investment in infrastructure or capital. Statement 6 is correct: The setting up of cold storage facilities by the government is a direct public investment aimed at improving agricultural infrastructure and reducing post-harvest losses. Hence, option C is the correct answer.
Consider the following statements :
1. India is a member of the International Grains Council.
2. A country needs to be a member of the International Grains Council for exporting or importing rice and wheat.
Which of the statements given above is/are correct?
* Statement 1: Correct. India is indeed a member of the International Grains Council (IGC). * Statement 2: Incorrect. Membership in the IGC is not a prerequisite for engaging in the rice and wheat trade. Countries that are not members can still export and import these grains. The IGC primarily serves as a forum for intergovernmental cooperation and policy discussion on grain trade.
At the United Nations Ocean Conference (UNOC) held in June, 2025 in France, the Food and Agricultural Organization (FAO) of the United Nations demonstrated its leading voice on marine and ocean issues, especially on sustainable fisheries and aquaculture for resilient livelihood and "Blue Transformation".
Which of the following combinations about the "Four Betters" proposed by FAO for "Blue Transformation" is correct ?
The Food and Agriculture Organization (FAO) of the United Nations guides its global work through a strategic framework aimed at supporting the 2030 Agenda for Sustainable Development. The core organizing principle of this framework is the transformation to more efficient, inclusive, resilient, and sustainable agrifood systems to achieve the "Four Betters". The "Four Betters" are officially defined as:
1. Better Production: Ensuring sustainable consumption and production patterns.
2. Better Nutrition: Ending hunger, achieving food security, and improving access to healthy diets.
3. Better Environment: Protecting, restoring, and promoting the sustainable use of terrestrial and marine ecosystems.
4. Better Life: Promoting inclusive economic growth and reducing inequalities, leaving no one behind. The Blue Transformation is a specific FAO vision and programmatic priority area that aims to secure and maximize the contribution of aquatic food systems (fisheries and aquaculture) to achieve these overarching "Four Betters". Options A, C, and D are incorrect because they include fabricated pillars such as "better ocean", "better coral reefs", "better estuaries", or "better mangrove vegetation", which are not part of the FAO's official strategic framework. Therefore, Option B is the correct answer.
According to India’s National Policy on Biofuels, which of the following can be used as raw materials for the production of biofuels?
1. Cassava
2. Damaged wheat grains
3. Groundnut seeds
4. Horse gram
5. Rotten potatoes
6. Sugar beet
Select the correct answer using the code given below:
The question is asking about the raw materials that can be used for the production of biofuels according to India's National Policy on Biofuels. Cassava is a starch-rich root vegetable that can be used to produce biofuel. Damaged wheat grains, which are unfit for human consumption, can also be used to produce biofuel. Groundnut seeds are not mentioned in the National Policy on Biofuels as a raw material for biofuel production. Horse gram is also not mentioned in the National Policy on Biofuels as a raw material for biofuel production. Rotten potatoes, which are unfit for human consumption, can be used to produce biofuel. Sugar beet is a plant whose root contains a high concentration of sucrose and it is grown commercially for sugar production. It can also be used to produce biofuel. Therefore, according to India's National Policy on Biofuels, Cassava, Damaged wheat grains, Rotten potatoes, and Sugar beet can be used as raw materials for the production of biofuels.
Show 3 more PYQs
Consider the following statements about turmeric during the year 2022–23:
I. India is the largest producer and exporter of turmeric in the world.
II. More than 30 varieties of turmeric are grown in India.
III. Maharashtra, Telangana, Karnataka and Tamil Nadu are major turmeric producing States in India.
Which of the statements given above are correct?
✅ Statement I: Correct
India produces about 80% of the world’s turmeric and exports around 65% globally. ✅ Statement II: Correct
India grows over 30 turmeric varieties like Alleppey Finger, Erode, Sangli, Salem, Nizamabad, and Rajapore. ✅ Statement III: Correct
Major producing states include Telangana (largest), Maharashtra, Tamil Nadu, and Karnataka. Correct Answer: (D) All statements are correct.
Consider the following statements:
Statement I:
Of the two major ethanol producers in the world, i.e., Brazil and the United States of America, the former produces more ethanol than the latter.
Statement II:
Unlike in the United States of America where corn is the principal feedstock for ethanol production, sugarcane is the principal feedstock for ethanol production in Brazil.
Which of the statements given above are correct?
Ethanol is a biofuel produced mainly by fermenting sugars found in crops like corn and sugarcane, with the USA and Brazil being the top global producers—each using a different primary feedstock. ❌ Statement I: Incorrect
* The United States is the largest ethanol producer, not Brazil. ✅ Statement II: Correct
* USA uses corn; Brazil uses sugarcane as the primary feedstock for ethanol.
Which of the following factors/policies were affecting the price of rice in India in the recent past?
1. Minimum Support Price
2. Government’s trading
3. Government’s stockpiling
4. Consumer subsidies
Select the correct answer using the code given below:
Minimum Support Price (MSP): The government sets an MSP to ensure a minimum income for farmers. If the market price falls below the MSP, the government procures rice from farmers at the MSP. This can lead to higher rice prices for consumers if the government releases these stocks slowly or not at all. Government's trading: Government agencies like the Food Corporation of India (FCI) procure and sell rice in the market. Large-scale procurement by the government can affect market availability and potentially drive up prices. Government's stockpiling: The government maintains buffer stocks of rice for food security purposes. If these stocks are depleted due to various reasons, it can lead to a shortage and price hikes. Consumer subsidies: The government provides subsidized rice to certain sections of the population through schemes like PDS (Public Distribution System). This can influence overall demand and market dynamics. If the subsidies are substantial, it can put upward pressure on prices. Therefore, all these factors can play a role in influencing the price of rice in India.
Hence, option D is the correct answer.