US Disappointed Over India's Stance in WTO

The US today expressed disappointment over India's stand on worldwide reform of trade facilitation rules saying "backsliding" on commitments has brought the WTO to the brink of crisis.

At the meeting of the 160-member World Trade Organisation in Geneva yesterday, India demanded a halt to the trade facilitation (TF) timetable till a permanent solution on public stockholding for food security is found.

The meeting was to finalise a deal on TF that was agreed at talks in Bali last December in the WTO's first ever global trade agreement.

Without directly identifying India, the United States expressed its deep disappointment over lack of progress on the TF agreement.

"We are deeply disappointed that backsliding on Trade Facilitation has brought the WTO to the brink of crisis," the US Trade Representative, Mike Froman, said.

India's stand at the WTO was supported by Cuba, Venezuela and Bolivia.

"The current state of play on Trade Facilitation threatens to deal a serious blow to the credibility of the multilateral trading system and to set back the development needs of many countries around the world," Froman said.

Alysa Ayers, a former India hand at the State Department during the Obama Administration, told PTI that she is quite worried about what India's new position on the trade facilitation deal signals about India's direction on trade.

The issue, if not resolved by early next week, has the potential to cast a shadow on a planned visit to New Delhi by US Secretary of State John Kerry, which begins on July 30, observers say.

The Obama Administration refused to comment on the possible impact of India's stand at WTO on the India US relationship. However it is expected to figure prominently during the next week's India US Strategic Dialogue in New Delhi.

"Throughout all of 2013, India was reticent to commit to the trade facilitation package which WTO members had been working on, but in an extended marathon negotiation effort at Bali in December, brokered by the WTO's new Brazilian chief, there was a sufficient compromise reached to meet India's concerns," said Ayers, who is now a research fellow at the Council on Foreign Relations, a top American think tank.

India, she said, is reopening what had been carefully negotiated to the apparent satisfaction of every single WTO member just seven months ago.

"It is hard to understand, especially coming from a new government which in its campaign manifesto emphasized India's pre-Raj global trading prominence," Ayers said, reflecting on the general mood prevailing in the US on this issue.

Ayers, a proponent of strategic partnership between India and the US, said that she is worried about the possible impact TFA would have on the bilateral ties.

"Here is where I worry the most. If indeed the Bali trade facilitation understanding comes undone, with India as the vetoing party, it becomes difficult to foresee any near-term prospect of developing a more visionary economic ambition with India--like supporting India for APEC membership, which I have advocated for, or developing a path to the TPP, or a long-term FTA ambition which some have recommended as a goal," she said.

"That's because the message from the Bali trade deal veto will be that India is not at present prepared to stand with the rest of the open trading world. I hope that isn't the reality, but am worried that's where we will end up," Ayers said.

Emerging story. Watch this space for updates as more details come in
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Digression

4/D-8
Jul 29, 2014
01:40 AM
 


U-turn at Geneva may erode goodwill for Modi

The message that India gave in Geneva is as clear as it can get to the rest of the world. Indian governments don’t respect contracts, made legally by previous democratic governments. We are not trustworthy business partners. That puts political and economic risk at the highest ratings. You don’t have to like it, but you cannot do business, or trade without trust that everyone will honour their contracts in good faith. Would any customer trust a business that has a track record of reneging on its legal contracts?

cms.outlookindia.commail.google.com/mail/u/0/

Anwaar, Dallas
3/D-99
Jul 28, 2014
04:13 PM

WTO in present form is pro-West Farmers and will put Third World Countries at the Mercy of the developed Countries .

The Farm Sector will die far want of Govermrntal support in the Third world Countries. The WTO is favourable to Farmers of the West who got stunningly rich through PL-480 FOOD PROGRAMMES .

WE WERE FORCED TO EAT THE CEREALS NOT FIT FOR EVEN THE ANIMALS IN THE WEST !!

THE GAINS MADE DURING THE LAST 40 years through Green Revolution will be washed out with one strolke of Pen when we sign to 2017 dead line for Food Subsidies.

FARUKI SAHIB TILL YESTERDAY YOU WERE GA GA FOR FOOD FOR POOR SCHEME AND NOW YOU STAND AGAINST IT !!

ashok kumar ghai
Mumbai, India
2/D-98
Jul 28, 2014
04:01 PM

''Modi government takes India backward at WTO, this will hurt the country

"India has shot itself in the foot at the World Trade Organization (WTO) by trying to change the rules of the game after it has started. It almost seems as if we have a retrospective." 

FARUKI SAHIB 

" India firm on food subsidies at WTO, trade deal at risk

NEW DELHI: The government on Friday refused to yield to pressure from developed countries to accept easier customs rules without its food subsidy concerns being addressed, putting at risk a likely deal at the World Trade Organization (WTO).

Developed countries have stepped up the pressure on India saying failure to strike a deal on trade facilitation would stall global trade reforms and deal a massive blow to the WTO by undoing the work done by trade ministers at Bali.

"To jeopardise the food security of millions at the altar of a mere anomaly in the rules is unacceptable... In order to fully understand and address the concerns of members on TFA (trade facilitation agreement), my delegation is of the view that the adoption of the TF protocol be postponed till a permanent solution on public stock holding for food security is found," Anjali Prasad, India's ambassador to the WTO, said at a specially convened meeting to clear the trade facilitation agreement, which promises to ease clearances at ports and airports across the 160 member countries. ''

timesofindia.indiatimes.com/business/india-business/India-firm-on-food-subsidies-at-WTO-trade-deal-at-risk/articleshow/39003839.cms

DO YOU WANT TO STARVE AND KILL MILLIONS IN THE THIRD WORLD  COUNTRIES FOR THE SAKE OF  WTO AFREEMENT . YOU ARE CRITICISING MODI GOVT FOR THIS CRIME  ??? 

DO'NT FORGET MUSLIMS ARE THE MOST POOR IN INDIA .LEFT TO YOU YOU WANT MODI TO STARVE  DEATH  CORES OF THE INDIANS-MAJORITY WHOM WILL BE POOR INDIAN MUSLIMS. 

YOU ARE JUST PANDERING TO WEST AS USUAL !!

'' India stockpiles food for its poor, citing the need for food security, but doing so puts it at risk of breaking the rules of the WTO which worries that the stockpiling of subsidised food can distort trade.

In Bali, WTO members agreed to give India a pass on its stockpiles until 2017, while negotiating a permanent solution.

Officials told Reuters that India had not supplied any clear indication of concessions it wanted, so attempts were made at the meeting to reassure it that its concerns, whatever they may be, were being heard.

"India clearly and forcefully expressed its concern that work proceed on all fronts, including food stockpiling, and received assurances that all G20 members are committed to the full implementation of all Bali agreements on the agreed timetables," US trade representative Michael Froman told Reuters on Monday.""

www.outlookindia.com/yourtake.aspx

WHAT WILL INDIA DO AFTER 2017 ?? STOP FOOD SUSBSIDIES AND KILL POOR KISSANS AND POOR INDIANS with starvation !!! 

ashok kumar ghai
Mumbai, India
1/D-70
Jul 27, 2014
12:44 PM


Modi government takes India backward at WTO, this will hurt the country

"India has shot itself in the foot at the World Trade Organization (WTO) by trying to change the rules of the game after it has started. It almost seems as if we have a retrospective."

blogs.timesofindia.indiatimes.com/cash-flow/modi-government-takes-india-backward-at-wto-this-will-hurt-the-country/
 

Anwaar, Dallas
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