Unfortunate India as Trump ends preferential trade status

first_imgNew Delhi: India on Saturday said that it will continue to work with the USA to strengthen economic ties in the wake of America’s decision to withdraw export benefits under a programme. The USA has said that with effect from June 5, it will withdraw incentives to Indian exporters provided under its Generalized System of Preferences (GSP) programme.In a statement, the commerce ministry said that in any relationship, particularly in the area of economic ties, there are ongoing issues which get resolved mutually from time to time. “We view this issue as a part of this regular process and will continue to build on our strong ties with the USA, both economic and people to people. We are confident that the two nations will continue to work together intensively for further growing these ties in a mutually beneficial manner,” it said. Also Read – Dussehra with a ‘green’ twistIt said that the GSP benefits given by developed countries like the USA to developing nations such as India are “unilateral, non reciprocal and non discriminatory”. The US’ decision came following complaints by its medical devices and dairy industries, which have alleged that India did not provide equal market access to their products. The medical devices players have also raised objections over price caps put by India on products like stents. The ministry said that India, as part of its bilateral discussions with US officials, had offered resolution on significant US requests in an effort to find a mutually acceptable way forward. “It is unfortunate that this did not find acceptance by the US,” it added. Also Read – India receives its first Rafale fighter jet from FranceHowever, it said that India, like other nations, shall always uphold its national interests in these matters. “We have significant developments imperatives and concerns and our people aspire for better standards of living. This will remain the guiding factor in the government’s approach,” it said. As many as 1,900 Indian products from sectors such as chemicals and engineering get duty free access to the US market under the GSP, introduced in 1976. The US’ demand for relaxation in norms for exports of medical devices and dairy products are non-negotiable for India.last_img read more