Which of the following statements is not true ?

Statement 3 is incorrect because the Most Favoured Nation (MFN) principle is a non-discrimination rule, not a mechanism for extending preferential (exclusive) trading agreements. Under MFN, if a country grants a trade favor or lower tariff to one member, it must immediately and unconditionally extend that same treatment to all other members [5]. It ensures that no country is discriminated against in favor of another. Statements 1 and 2 are correct; GATT regulated trade from 1947/1948 until it was replaced by the WTO on January 1, 1995 [4]. Statement 4 is also correct; unlike the original GATT which primarily focused on industrial goods, the WTO's Uruguay Round successfully integrated the Agreement on Agriculture and the Agreement on Textiles and Clothing into the multilateral framework, addressing key concerns for Least Developed Countries (LDCs) [6].

Sources

1. [4] https://www.wto.org/english/res_e/booksp_e/agric4th_e.pdf
2. [5] https://legal.un.org/avl/ha/gatt/gatt.html
3. [1] FUNDAMENTALS OF HUMAN GEOGRAPHY, CLASS XII (NCERT 2025 ed.) > Chapter 8: International Trade > World Trade Or rade Organisation > p. 74
4. [2] Contemporary World Politics, Textbook in political science for Class XII (NCERT 2025 ed.) > Chapter 4: International Organisations > WTO > p. 57
5. [6] https://www.investopedia.com/terms/g/gatt.asp