SME Times News Bureau | 29 Jan, 2016
India remains committed to the multilateral trade
architecture, Secretary, Ministry of Commerce and Industry, Rita Teaotia said at
the interactive discussion on "WTO Nairobi Ministerial Outcomes and India's
Future Trade Policy Priorities" held in New Delhi.
The interactive session was organised by Confederation of Indian Industry (CII)
on Wednesday in partnership with Centre for WTO Studies.
Sharing her thoughts and experience from the recently concluded Nairobi
conference, she added that the 10th Ministerial Conference held in Nairobi,
Kenya was significant. This was first time a Ministerial Meeting was held in
Africa. The 2001 Doha Round had first time principle of development and since
then developing countries sought to reiterate this in every Meeting. "We
didn't manage to achieve much", she hinted.
The Commerce Secretary revisited the Nairobi Meeting agendas amongst which
include export competitiveness, special and preferential treatment, export
subsidies, Special safeguard mechanism, etc. It focused on the package of
measures for Least Developed Countries (LDCs). India is one of the 19 countries
which has supported this. India is now working on smooth implementation to
ensure LDCs benefit from India's LDC schemes.
She added that India is a signatory of ITA-I but not ITA-II. ITA-I hampered the
growth of India's electronics industry. The Secretary further said, "We
should expect to see some movement of bringing new issues. This has happened in
past and will happen in future. Our position is that first, let us deal with
the outstanding issues."
Additional Secretary, Department of Commerce, Ministry of Commerce and
Industry, Arvind Mehta stated that the world is grappling with trade policy.
Too many countries with high ambitions are creating a deadlock.
As WTO is not giving the result expected, mega Free Trade Agreements (FTAs)
like Trans-Pacific Partnership (TPP), Regional Comprehensive Economic
Partnership (RCEP) and Transatlantic Trade and Investment Partnership (TTIP)
are rising. Mehta added that India's trade architecture needs to keep all these
realities in mind. The South Asian Free Trade Area (SAFTA) is quite a workable
model which ensures voluntary flexibility with differential preferences.
Sunil Kant Munjal, Past President, CII and Chairman, CII Task Force on Ease of
Doing Business, added that it is critical for India to understand how
negotiations take place. Most of the discussions take place in green room and
small groups.
Prof Abhijit Das, Head & Professor, Centre for WTO Studies, Indian
Institute of Foreign Trade (IIFT) said that the US will want TPP is adopted by
as many countries as possible. There will be pressure on India by developed
countries. There will be other countries fighting for the US. This will have to
be taken into consideration for Indian negotiators. It will be difficult for
India to identify countries with common interests. South-South cooperation has
to be reemerged to promote priorities.
Dr Harsha Vardhana Singh, Former Deputy Director General, WTO said, "India
will be the fastest growing large economy and we have to make it a reality
through domestic reforms. We have to make RCEP an attractive mechanism for
attracting investment and make the most use of trade diversion."
Jayant Dasgupta, Former India's Ambassador to WTO & Executive Partner,
Lakshmikumaran & Sridharan Attorneys stated that with commodity prices
going down, the US can't agree what it promised in Doha Round.
Earlier, while chairing the first session, Chandrajit Banerjee, Director
General, CII congratulated the Commerce Secretary and team for excellent
leadership at Nairobi.