UPSC Prelims Practice Questions — Trade, supply chains and economic statecraft

Q1. The Supply Chain Resilience Agreement under Pillar-II of the Indo-Pacific Economic Framework for Prosperity (IPEF), which India signed, was concluded as a plurilateral arrangement among how many partner countries?

  • A. 7
  • B. 12
  • C. 14
  • D. 21

Q2. Under the Supply Chain Council set up by the IPEF Supply Chain Agreement, India has been elected as the Chair (lead) of the Action Plan Team for which of the following sectors?

  • A. Semiconductors
  • B. Critical Minerals
  • C. Chemicals
  • D. Pharmaceuticals and Healthcare

Q3. Under the National Critical Mineral Mission, which agency has been tasked with undertaking the large programme of domestic critical-mineral exploration projects during 2024-25 to 2030-31?

  • A. Geological Survey of India
  • B. Khanij Bidesh India Limited (KABIL)
  • C. Indian Bureau of Mines
  • D. National Mineral Development Corporation (NMDC)

Q4. With reference to the list of critical minerals notified by the Ministry of Mines (2023) that underpins the National Critical Mineral Mission, consider the following: 1. Lithium 2. Cobalt 3. Graphite 4. Coal Which of the above are correctly identified as being on the notified list of critical minerals?

  1. Lithium
  2. Cobalt
  3. Graphite
  4. Coal
  • A. 1 and 2 only
  • B. 1, 2 and 3
  • C. 1, 2, 3 and 4
  • D. 3 and 4 only

Q5. The Supply Chain Resilience Initiative (SCRI) involving India, Australia and Japan is best described as which one of the following?

  • A. A non-binding trilateral cooperation to strengthen Indo-Pacific supply chains through diversification of trade and investment
  • B. A legally binding free-trade agreement eliminating tariffs among the three countries
  • C. A Quad-led sovereign fund to finance critical-mineral acquisitions abroad
  • D. A WTO plurilateral agreement on trade facilitation in services

Q6. Consider the following statements comparing the Supply Chain Resilience Initiative (SCRI) with the IPEF Supply Chain Agreement: 1. SCRI is a trilateral arrangement of India, Australia and Japan, whereas the IPEF Supply Chain Agreement is a plurilateral of 14 partners. 2. Unlike SCRI, the IPEF Supply Chain Agreement is a formal agreement that has entered into force. 3. India is the Chair of the governing council/mechanism of both SCRI and the IPEF Supply Chain Agreement. Which of the statements given above is/are correct?

  1. SCRI is a trilateral arrangement of India, Australia and Japan, whereas the IPEF Supply Chain Agreement is a plurilateral of 14 partners.
  2. Unlike SCRI, the IPEF Supply Chain Agreement is a formal agreement that has entered into force.
  3. India is the Chair of the governing council/mechanism of both SCRI and the IPEF Supply Chain Agreement.
  • A. 1 only
  • B. 1 and 2 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q7. India Semiconductor Mission (ISM) 2.0, announced in the Union Budget 2026-27, singles out which one of the following as its principal new manufacturing thrust — distinct from the chip-fabrication and ATMP focus of the earlier Semicon India programme?

  • A. Domestic manufacturing of semiconductor equipment and materials
  • B. Setting up memory (DRAM) fabrication units
  • C. Building display-panel fabrication plants
  • D. Establishing outsourced assembly, testing and packaging (OSAT/ATMP) units

Q8. In the context of India Semiconductor Mission 2.0, the objective of designing 'full-stack indigenous semiconductor IP' most precisely means which of the following?

  • A. Developing India-owned semiconductor intellectual property spanning the entire design stack
  • B. Importing licensed IP cores from global vendors for local integration
  • C. Assembling and testing foreign-fabricated chips within India
  • D. Providing viability-gap subsidies to attract foreign-owned fabs

Q9. With reference to the PM Gati Shakti National Master Plan, consider the following: 1. It is a GIS-enabled digital platform integrating infrastructure and economic ministries. 2. It was launched on 13 October 2021. 3. It follows a whole-of-government approach for multimodal connectivity. 4. It is administered as a programme of the Ministry of Finance. Which of the above are correctly identified?

  1. It is a GIS-enabled digital platform integrating infrastructure and economic ministries.
  2. It was launched on 13 October 2021.
  3. It follows a whole-of-government approach for multimodal connectivity.
  4. It is administered as a programme of the Ministry of Finance.
  • A. 1, 2 and 3
  • B. 1 and 4 only
  • C. 2, 3 and 4
  • D. 1, 2, 3 and 4