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NABARD Assistant Manager Grade A International Agri Trade & Export Management: practice questions

NABARD Assistant Manager Grade A (RDBS) · India · National Bank for Agriculture and Rural Development

Original practice questions written to the published syllabus · not past papers
10worked here, free
31written to this exam in this subject
8syllabus units

About NABARD Assistant Manager Grade A

NABARD Assistant Manager Grade A (RDBS) is a government recruitment exam run by National Bank for Agriculture and Rural Development, for candidates in India. Phase I: 200 questions / 200 marks / 120 minutes, -1/4. Phase II: Paper I General English, descriptive, 100 marks / 90 minutes; Paper II (generalist) ESI + ARD, 30 objective questions / 50 marks / 30 minutes plus descriptive (attempt 4 of 6: 2 x 15 + 2 x 10) / 50 marks / 90 minutes. Mandatory psychometric test. Interview 50.

Source: nabard.org.

Checked against the exam body's published information. Formats and fees change; confirm the current edition there before you book.

International Agri Trade & Export Management in NABARD Assistant Manager Grade A

Why countries trade, how trade is measured and regulated, and how an agribusiness actually exports.

Our 31 NABARD Assistant Manager Grade A questions in this subject: 12 easy, 16 medium, 3 hard, across 8 units.

10 practice questions, worked

Choose an answer, then open the working. Each explanation says why the right answer is right and why the others are not.

These 10 were written to NABARD Assistant Manager Grade A and are not shown on any other exam's page.

Question 1 · medium

A country has merchandise exports of 400, merchandise imports of 550, net services of +120, net primary income of −30 and net secondary income of +80 (all in billions). Its current-account balance is:

  1. +170
  2. −150
  3. +20
  4. −30
Answer and working

C. +20

Trade balance = 400 − 550 = −150. Current account = −150 + 120 − 30 + 80 = +20. −150 is only the trade balance; +170 leaves out the trade balance altogether (120 − 30 + 80); −30 is only primary income.

Question 2 · easy

The Prebisch-Singer hypothesis concerns:

  1. A long-run tendency for the terms of trade of primary-commodity exporters to decline
  2. The equalisation of factor prices through trade between rich and poor countries
  3. The pattern of intra-industry trade
  4. The effect of devaluation on the trade balance of primary-commodity-exporting developing countries
Answer and working

A. A long-run tendency for the terms of trade of primary-commodity exporters to decline

Prebisch and Singer (1950) argued primary-product prices tend to fall relative to manufactures because of low income elasticity of demand for food and raw materials, among other reasons.

Question 3 · medium

Under the IMF's BPM6, foreign direct investment inflows into a country are recorded in the:

  1. Current account
  2. Primary income account
  3. Financial account
  4. Capital account
Answer and working

C. Financial account

BPM6 places direct, portfolio and other investment and reserve assets in the financial account. The income earned on that investment (dividends, profits) goes to primary income. National presentations such as India's sometimes still label this the 'capital account'.

Question 4 · medium

The rupee moves from 80 to 84 per US dollar. By what percentage has the rupee depreciated against the dollar?

  1. 4.76%
  2. 8.40%
  3. 5.00%
  4. 4.00%
Answer and working

A. 4.76%

Rupee value in dollars falls from 1/80 to 1/84: (1/84 − 1/80)/(1/80) = −4.76%. 5% is the dollar's appreciation (4/80), a common base error; 4% and 8.4% have no basis.

Question 5 · hard

Spot rate is 83 rupees per dollar and the three-month forward rate 84. The annualised forward premium on the dollar is approximately:

  1. 12.05%
  2. 1.19%
  3. 4.82%
  4. 1.20%
Answer and working

C. 4.82%

(84 − 83)/83 × 12/3 × 100 = 4.82%. 1.20% is the unannualised premium; 12.05% annualises by a factor of 10 in error; 1.19% divides by the forward rate and does not annualise.

Question 6 · easy

The World Trade Organization came into being on:

  1. 15 April 1994
  2. 1 November 2001
  3. 1 January 1948
  4. 1 January 1995
Answer and working

D. 1 January 1995

The Marrakesh Agreement signed in April 1994 established the WTO from 1 January 1995. GATT applied from 1948; Doha was launched in November 2001.

Question 7 · medium

Under the Uruguay Round, developed countries agreed to reduce agricultural tariffs by an average of:

  1. 24% over ten years, with at least 10% per line
  2. 36% over ten years, with at least 10% per line
  3. 20% over six years
  4. 36% over six years, with at least 15% per tariff line
Answer and working

D. 36% over six years, with at least 15% per tariff line

Developed: 36% average, minimum 15% per line, 1995-2000. Developing: 24% average, minimum 10%, over ten years. 20% was the developed-country cut in Total AMS.

Question 8 · medium

A developed country gives product-specific support of 80 million on a product whose value of production is 1,000 million. Under the AoA, this support:

  1. Exceeds the 5% de minimis and counts in full towards current Total AMS
  2. Counts only the part above 5%, i.e. 30 million
  3. Is automatically blue box
  4. Is within de minimis because it is below 10%
Answer and working

A. Exceeds the 5% de minimis and counts in full towards current Total AMS

80/1,000 = 8% > 5%, so the whole amount enters current AMS; de minimis is a threshold, not a deduction. 10% applies to developing countries.

Question 9 · medium

The Bali Ministerial Decision of 2013 on public stockholding for food security:

  1. Required developing countries to cut procurement by 13.3%
  2. Shields developing countries' stockholding of traditional staples from challenge even if AMS limits are breached, until a permanent solution
  3. Moved public stockholding into the blue box
  4. Abolished all price support for food grains
Answer and working

B. Shields developing countries' stockholding of traditional staples from challenge even if AMS limits are breached, until a permanent solution

The interim 'peace clause' protects such programmes, subject to notification and anti-circumvention conditions; the General Council confirmed in November 2014 that it lasts until a permanent solution. India invoked it for rice in 2020.

Question 10 · medium

In India, pre-shipment quality certification for notified export products is the function of the:

  1. Spices Board
  2. Bureau of Indian Standards acting for importers
  3. Export Inspection Council
  4. Export-Import Bank
Answer and working

C. Export Inspection Council

EIC, under the Export (Quality Control and Inspection) Act, 1963, certifies quality and safety of notified exports. EXIM Bank finances trade.

A study plan for International Agri Trade & Export Management in NABARD Assistant Manager Grade A

This plan follows where our questions actually fall, so the time goes where the marks are likely to be. It is our reading of the syllabus, not the exam body's weighting.

  1. First, the heavy units (58% of the 31 questions): WTO Agreement on Agriculture and its boxes (8, 26%); Balance of payments (5, 16%); Exchange rates (5, 16%).

    Read the manual chapters for these first and do every worked question you can find on them.

  2. Then the middle band: Anti-dumping (4, 13%); Export promotion organisations (4, 13%); Tariffs and non-tariff measures (3, 10%).

    Aim for one sitting per unit, then mixed questions across them.

  3. Then the lighter units: Export procedures and documentation (1, 3%); TRIPS, TRIMs, SPS and TBT agreements (1, 3%).

    Learn the definitions, classifications and standard numbers; these units are more often recalled than worked.

  4. Leave time for the hard ones: Export promotion organisations (1 hard of 4), Exchange rates (1 hard of 5), WTO Agreement on Agriculture and its boxes (1 hard of 8).

    Come back to these after a first pass, untimed, and read every explanation, including for the options you rejected.

  5. Bank the easy marks: Export procedures and documentation (1 easy of 1); Balance of payments (3 easy of 5).

    Do these early in revision so they are fast on the day.

  6. Finish timed. Sit the subject as a timed set without notes, mark it, and send each wrong answer back to its unit above.

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