Read the passage and answer the question.
A new chapter of peace and cooperation might evolve in South Asia if all the countries in the region allow free trade across borders. This is the spirit behind the idea of the South Asian Free Trade Agreement (SAFTA). The Agreement was signed in 2004 and came into effect on 1 January 2006. SAFTA aims at lowering trade tariffs. But some of our neighbors fear that SAFTA is a way for India to invade their markets and to influence their societies and politics through commercial ventures and a commercial presence in their countries. India thinks that there are real economic benefits for all from SAFTA and that a region that trades more freely will be able to cooperate better on political issues. Some in India think that SAFTA is not worth the trouble since India already has bilateral agreements with Bhutan, Nepal, and Sri Lanka.
Out of the given options, choose the most appropriate one: The SAFTA came into effect on
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → 1st January 2006
The SAFTA agreement was signed in 2004 and came into effect on 1 January 2006.
Note: A same/similar question was asked in CUET (UG) in the papers below.
| 2026 | 2025 | 2024 | 2023 | 2022 |
| – | – | – | 31-05 S1* 14-06 S2* 19-06 S3* | 16-07 S1 |
* A similar question.
NCERT (2026-27): “Peace and Cooperation … A new chapter of peace and cooperation might evolve in South Asia if all the countries in the region allow free trade across the borders. This is the spirit behind the idea of SAFTA. The Agreement was signed in 2004 and came into effect on 1 January 2006. SAFTA aims at lowering trade tariffs. But some of our neighbours fear that SAFTA is a way for India to ‘invade’ their markets and to influence their societies and politics through commercial ventures and a commercial presence in their countries. India thinks that there are real economic benefits for all from SAFTA and that a region that trades more freely will be able to cooperate better on political issues. Some in India think that SAFTA is not worth the trouble since India already has bilateral agreements with Bhutan, Nepal and Sri Lanka.…” |