India was inflamed by Thailand's accusation, boycotted the World Trade Organization forum, what is the reason for the controversy?

India Thailand Controversy | Thailand's ambassador to the World Trade Organization (WTO) Pimchanok Wonkorpon Pitfield's comments angered India. After which India boycotted Thailand on this forum and refused to have any kind of discussion with it in WTO.

What really matters?

Indeed the Thai ambassador alleged that India was using 'subsidised' rice bought for the public distribution system to dominate the export market. His comment created a diplomatic controversy. India strongly opposed it and Indian negotiators refused to participate in group discussions where Thailand's representatives were present.

Thailand now along with countries like America, EU, Canada

Thailand's ambassador made the comments at a consultative meeting on Tuesday, which was welcomed by some representatives of rich countries. This angered the Indian delegation here. It is believed that Thailand is now standing with other countries including America, European Union, Canada and Australia. These countries have blocked a permanent solution to public stockholding for more than a decade. While India is raising the loudest voice for its solution.

Piyush Goyal raised this issue

Officials said India lodged a strong protest with the Thai government, with Commerce and Industry Minister Piyush Goyal also raising the matter with USTR Catherine Tai and EU Executive Vice President Valdis Dombrowski. India's strong stance has made it clear that it will not tolerate such language and behaviour. Government officials said that whatever the Thai ambassador said was factually incorrect. He said the government buys only 40% of the produce to meet food security obligations. Part of the remaining produce of the farmers is exported from India at market prices. It is not bought by government agencies. Indian rice share in the global market has increased in recent years. But recent export restrictions by India have angered Western countries. Developed countries are trying to project a picture that India is disrupting global trade by selling subsidized rice in the international market, which is not true.

What caused the recent controversy?

In contrast, officials pointed out that the rules were designed in such a way that the terms of trade favored rich countries. He said that the price for calculating subsidy was fixed at 1986-88 level. It means that per kg Rs. Any price offered above 3.20 will be treated as a subsidy. Currently, the main cause of the recent controversy is Thailand's allegation that India's rice exports are heavily subsidized, giving it an unfair advantage in the international market.