Explanation
In the context of the World Trade Organization (WTO) affairs, you sometimes find the terms "Amber Box, Blue Box, and Green Box" in the news.
The "Amber Box" refers to the domestic support measures that are considered trade-distorting and have to be reduced by WTO member countries. These measures include price support policies, direct payments to farmers, and other subsidies.
The "Blue Box" refers to the domestic support measures that are also trade-distorting but are considered less harmful than those in the Amber Box. These measures include direct payments to farmers that are linked to production-limiting programs.
The "Green Box" refers to the domestic support measures that are not trade-distorting and can be provided without any limits. These measures include research and development, environmental protection, and food safety programs.
The WTO member countries negotiate on these boxes to ensure fair and equitable trade practices globally. The use of these boxes helps in regulating trade and agriculture policies of member countries and bringing them in line with the WTO rules and regulations.
