India wants removal of non-tariff barrier in agriculture

SHEILA MATHRANI

TIMES NEWS NETWORK[ SUNDAY, MARCH 11, 2007 12:20:02 AM]

GENEVA: India has joined the chorus in criticising the EU’s non-tariff barriers (NTBs) and SPS issues, and market access in agriculture at the WTO Trade Policy Review of the EC.
According to the WTO Secretariat report the EC’s agriculture policies were a matter of concern with its protection by a complex tariff structure, high tariffs, tariff quotas of which some were not filled, and high levels of domestic support and export subsidies.
In its intervention India informed the WTO of its steady, significant intensification of strategic partners dialogue and of a proposed agreement on trade and investment between India and the EU. The negotiations of which could commence shortly and “open vast opportunities for businesses on both sides.”
The EC is one of the largest sources of FDI from India. It is not only India’s largest trading partner, it accounts for almost a quarter of India’s exports and imports. In 2005 India-Europe trade was around 40 billion euros, EU’s exports to India grew by 23.8%, and EU imports from India by 16.2% as compared to 2004.
India stated that it has submitted written questions to the EC for clarification on some of its trade policies, however mentioned that Indian agriculture exporters continue to suffer on account of NTBs and SPS issues.
It pointed out that in market access several instances had been brought to the Indian government’s notice by Indian exporters of meat and meat products, marine products, milk products, egg products, Basmati, mushrooms, refrigerators, lack of intra EU harmonisation of standards, which impede exports from India to the EC.
India stated that it seeks dismantling of these non-tariff barriers to enable it increase access to the European markets for Indian exporters. India also focused on the EC restrictive policy on Services which it urged to take urgent stops to address.
India stated that despite its advantage of young population, complemented by a vast network of academic infrastructure and educated, English-speaking talent, India’s opportunities with the EC in trade services sector are hindered by issues relating to Mode 4, the imposition of unclear ENTs, domestic regulations, territorial requirement to set up business, residence requirements, and discriminatory tax treatment.

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