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Indian industry sore over WTO draft on agri-negotiations
New Delhi, Mar 30: Indian industry today expressed concern on the revised draft for modalities of agriculture negotiations in WTO describing it as inadequate which may not go far enough in liberalising the distorted global farm trade.
New Delhi, Mar 30: Indian industry today expressed concern on the revised draft for modalities of agriculture negotiations in WTO describing it as inadequate which may not go far enough in liberalising the distorted global farm trade.
Although some issues of concern to developing countries are reflected in the draft but the key issues, which are instrumental in bringing any substantial benefit to them and straightening the world trade, have been addressed in a half-hearted manner, Federation of Indian Chambers of Commerce and Industry said here. In its response to the farm draft, the chamber said present prohibitive size of tariffs in developed countries would make the reduction proposed in the draft ineffective. The draft has proposed minimum reduction of 45 per cent on all tariff lines and an average reduction of 60 per cent on all tariff lines above 90 per cent. For tariffs between 15 and 90 per cent, the minimum reduction is 35 per cent and average reduction is 50 per cent. But the bound tariff rates of countries and regions like the US, EU and Japan is quite high and even after initiating the proposed cuts, they would continue to be prohibitive.
In view of this and the fact that developed countries would continue to have special safeguard mechanism during implementation period, the proposed cuts should have been more drastic, it added.
Bureau Report
Although some issues of concern to developing countries are reflected in the draft but the key issues, which are instrumental in bringing any substantial benefit to them and straightening the world trade, have been addressed in a half-hearted manner, Federation of Indian Chambers of Commerce and Industry said here. In its response to the farm draft, the chamber said present prohibitive size of tariffs in developed countries would make the reduction proposed in the draft ineffective. The draft has proposed minimum reduction of 45 per cent on all tariff lines and an average reduction of 60 per cent on all tariff lines above 90 per cent. For tariffs between 15 and 90 per cent, the minimum reduction is 35 per cent and average reduction is 50 per cent. But the bound tariff rates of countries and regions like the US, EU and Japan is quite high and even after initiating the proposed cuts, they would continue to be prohibitive.
In view of this and the fact that developed countries would continue to have special safeguard mechanism during implementation period, the proposed cuts should have been more drastic, it added.
Bureau Report