'Help us to help you', says US to Indian exporters

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SME Times News Bureau | 31 Oct, 2009
Addressing the Indian Exporters, at a meeting organized by Federation of Indian Export Organisations (FIEO) in New Delhi, Mary Ryckman, Asstt. U S Trade Representative shared that the US Government is keen to increase Trade with India so that India could reach within the 10 top trading partners from the present 18th rank.

She advised the exporters to work closely with the Government of India so that they were not taken with surprise with regard to violation of labour practices and also Intellectual Property Rights. Ryckman added "Help us to help you!"

J K Jain, Chairman, FIEO (Northern Region) appreciating the preferential duty-treatment provided to India under Generalised System of Preferences (GSP) program said that the programme was of much help to the Indian Exporters, to the country for enhanced employment generation opportunities and the corresponding economic growth.

He said the exporters have succeeded to reach the US market, using the programme. They have learnt about the required product adaptations for sophisticated market like the US and thus have succeeded to reach out to other similar markets in the world.

Urging Mary Ryckman to continue with the GSP programme Jain, advocated expansion of the programme to include more products like the complete range of Jewellery, Handicraft Items like furnishing articles, hats and head gears, handbags, hand made laces etc.

Monumental and building stone etc.as these were very labour intensive and were directly linked to the livelihood of lakhs of workers spread across India especially the rural areas.

Demonstrating example Jain added that the main beneficiaries of the duty waiver, under GSP, on the jewellery sector were around 3.2 lacs skilled workforce in India, all under low income group, and termination of GSP benefit on Indian jewellery would hit the large labour force.

Regarding the Carpet sector J K Jain assured that the industry was committed towards 100% elimination of child labour from the sector. He said that he was looking forward to developing cluster based social accountability system so that no incidences of child labour ever arose in the sector and urged Ryckman to continue the item under US GSP programme.

Ryckman expressed her surprise at the fact that US $ 13 million had been paid as import duty, in the recent past, by the US importers which are otherwise eligible for benefits under GSP programme. She said that there was need for creating awareness both amongst the Indian exporters and the US importers about the GSP programme and its documentation needs.

Ajay Sahai, Director General FIEO addressing the meeting urged the US representative to enhance the qualifying limit for GSP programme from US $ 135 million or 50% import criteria to US$ 500 million.

Given the increased imports of the US to the tune of US$ 3 trillion the qualifying limit was miniscule and urged the representative to automatically reconsider inclusion of the items in the GSP list which have marginally crossed the export limits.

He also advised a list of products like Zinc pipes and tubes and Silver jewellery upto US$ 18 a dozen for inclusion under the GSP programme.

Sahai added that the products which were graduating out of the GSP programme should be reconsidered under the programme where they are certified to have been produced by the MSME sector.