Question 69 from UPSC CSE 2017 - Current
Affairs

Question

The term 'Domestic Content Requirement' is sometimes seen in the news with reference to

IASCODEX · Accepted Answer

Correct Option: A. Developing solar power production in our country

Strategy: Focus on the context in which 'Domestic Content Requirement' appears in news—usually linked to manufacturing or renewable energy sectors. Among the options, only solar power involves direct reference to content sourcing and manufacturing requirements. Other options do not relate to 'content' in the sense of materials or components, making them easy to disregard.

Key Info: 'Domestic Content Requirement' (DCR) is a policy measure mandating that a certain percentage of components, materials, or products used in a sector must be sourced from within the country. In India, the DCR is prominently applied in the solar power sector under the National Solar Mission. The policy requires a specific proportion of solar panels and modules to be manufactured domestically to boost local industry and reduce import dependence.

**Key facts:**
- The Jawaharlal Nehru National Solar Mission (JNNSM) incorporates DCR provisions for government-backed solar projects.
- DCR has been subject to World Trade Organization (WTO) disputes, particularly after the US challenged India for violating trade norms by favoring local content.
- The aim is to promote domestic manufacturing, create jobs, and ensure energy security.

Other sectors like TV broadcasting, food exports, and foreign educational institutions do not generally involve statutory domestic content stipulations in the sense intended by this term.

IASCODEX · Answer

Option B: Granting licenses to foreign TV channels in our country

IASCODEX · Answer

Option C: Exporting our food products to other countries

IASCODEX · Answer

Option D: Permitting foreign educational institutions to set up their campuses in our country