The US-India Trade Policy Forum (TPF) on Tuesday resumed dialogue after 4 years the place the US stated it would consider India’s request for restoring the Generalised System of Preferences (GSP) that the Trump administration had withdrawn in 2019, affecting Indian exports price over $6.3 billion, officers stated.
At the twelfth ministerial-level meeting of TPF, co-chaired by commerce minister Piyush Goyal and US commerce consultant Katherine Tai in New Delhi, the 2 international locations agreed to resolve variations on key points similar to market entry for agriculture and non-farm items, safety of mental property rights and inspiring digital commerce.
“The Ministers reviewed their particular interests for achieving progress in the area of market access. In this regard, India highlighted its interest in restoration of its beneficiary status under the U.S. Generalized System of Preferences program; the United States noted that this could be considered, as warranted, in relation to the eligibility criteria determined by the U.S. Congress,” the 2 ministers stated in a joint assertion.
GSP advantages are tariff concessions supplied by rich nations on exports from creating and least developed international locations. The US terminated preferential tariff advantages underneath GSP from June 2019, in accordance to the commerce ministry. India had exported items price $6.3 billion to the US underneath the GSP programme in 2018, which was 12.1% of its whole export to the nation that year.
At the TPF meeting on Tuesday, the US and India additionally exchanged views on potential focused tariff reductions and mentioned facilitating commerce of particular person merchandise similar to market entry for mangoes and pomegranates from India and cherries and alfalfa hay for animal feed from the US.
“In addition, the U.S. agreed to work to complete India’s request for table grapes access to the United States, and India agreed to work to finalize the mutually agreed export certificate to allow the importation of U.S. pork and pork products,” the assertion stated.
The two nations additionally agreed to discover the potential of enhanced market entry for merchandise, together with distillers’ dried grains from the US and market entry for water buffalo meat and wild caught shrimp from India.
The two ministers agreed to maintain TPF conferences at common intervals to tackle “outstanding bilateral trade concerns and allow the two countries to explore important, emerging trade policy issues” as they determined to reactivate the TPF working teams on agriculture, non-farm items, providers, funding, and mental property. TPF will purpose to obtain an formidable, shared imaginative and prescient for the longer term commerce relationship between the 2 international locations as introduced by President Joe Biden and Prime Minister Narendra Modi at their September 24 meeting, they stated.
According to the joint assertion, Goyal and Tai expressed satisfaction over the sturdy rebound in bilateral merchandise commerce in 2021 (January – September 2021) that confirmed virtually 50% progress over the identical interval within the earlier year and bilateral merchandise commerce within the present year is poised to surpass $100 billion.
The commerce between the 2 international locations is rising quick post-Covid. India’s merchandise export to the US between January-September 2021 has seen an annualised 64.64% progress at $36.08 billion, and import by 71.99% at $20.26 billion.