Which of the following statements is incorrect?
Answer & explanation
Correct answer: option 2
The correct answer is Option 2 - SAFTA came into effect on 1 December 2004
Option 1- SAFTA was signed in 2004
Option 2- SAFTA came into effect on 1 December 2004
Option 3- SAFTA aims at lowering trade tariffs
Option 4- None of the above
CORRECTION in Option 2- SAFTA came into effect on 1 January 2006.
SAFTA 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.