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INDIA PROPOSES INCLUSION OF RUBBER AND COIR AS AGRICULTURAL PRODUCTS IN WTO AGREEMENT: MARAN
New Delhi ~ July 27, 2001
India has filed its negotiating proposals with the World Trade Organisation (WTO) for including rubber and coir in the rationalisation of product coverage in the Agreement on Agriculture, Shri Murasoli Maran, Union Minister of Commerce & Industry informed the Lok Sabha in a written reply today.
In reply to another Question on the impact of removal of imports on Quantitative Restrictions (QRs) Shri Maran informed that import restrictions on 714 items were removed on 31/3/2000. The import data of these 714 items for the year 2000-2001 have not been compiled. The import of these items during this period compared to the earlier year has shown a growth of less than 3%. The import restrictions on 715 items have been removed only on 31/3/2001. Thus it is too early to assess the impact of this measure on domestic producers. However the non-oil imports during the period April-May 2001 have shown a negative growth of 14.66%.
The government have constituted an Inter Ministerial Standing Group consisting of Commerce Secretary, Revenue Secretary, Secretary (SSI & ARI)
Secretary (Dept. of Animal Husbandry & Dairying), Secretary (Dept. of Agriculture & Cooperation) and Director General of Foreign Trade for tracking
collating and analysing import data of 300 sensitive items. The group has already started functioning and analysed the import data of these 300 items for the months of April and May 2001. As per the analysis of the data conducted by the group it is seen that the total import of 300 sensitive items for the period April-May 2001 has shown a negative growth rate of 11% compared to the same period last year. At the micro level
imports indicate increase in respect of tea, coffee, spices, cotton etc. Based on the import data the group has concluded that the overall picture that emerges fro these quick estimates is one of normal trading activity in response to demand and supply factors. Import of these sensitive items do not show any unusual trend on the basis of country of origin. The data reveals increase in imports from Egypt, Ethyopia, Indonesia, Japan,
Malaysia, Myanmar, Nepal, Philippines, Tanzania, Vietnam and Pakistan. Import of these sensitive items from China have registered a decline of 28%.
Representations have been received from some State Governments and Association of Traders Farmers etc. regarding the likely adverse impact of QR removal on them. However the government is aware of the emerging scenario for the small scale industry (SSI) units and has taken several steps to help them become globally competitive. These include special focus on areas such as technology upgradation infrastructure assistance through the cluster approach timely availability of credit adoption of modern management practices use of electronic infrastructure marketing and timely information dissemination including sensitisation of small industries to the emerging challenges of trade liberalisation Shri Maran said.
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