The Hindu Business Line : `FTA talks with Gulf will uphold Indian interests'

Infusing confidence
Trade urged to identify non-tariff barriers.
Assocham asked to create India-GCC Trade Forum to help channel investments from Gulf.

Kolkata , May 2

Union Commerce Ministry officials have assured industry, particularly in the petrochemicals sector, that nothing would be done to affect their interests or disturb the level playing field while negotiating for a comprehensive Free Trade Agreement with the six-member Gulf Cooperation Council (GCC).

Speaking at an interactive session organised by Assocham-BNCCI here on the various aspects of the proposed Indo-GCC FTA, Mr M.V.P.C. Sastry, Joint Secretary, Ministry of Commerce, said he was aware of the fears of companies like HPCL, Reliance etc. over feedstock from the GCC region.

`Win-win for India'

He assured them that nothing would be done to jeopardise their interests. Strongly advocating a cautious approach, especially after the mistakes made with regard to vanaspati in the FTA with Sri Lanka, he sought suggestions from all stakeholders on creating a level field. Urging the trade to identify non-tariff barriers, including those pertaining to Sanitary and Phytosanitary measures (standards), he said, "We need to arrive at a win-win situation for Indian industry." The next round of negotiations with GCC is scheduled end-May in Delhi.

Gulf investments

Giving the example of the Indian pharma sector, which faced difficulties in the GCC over exports, particularly for registration of new drugs, he said a meeting between the respective licensing authorities would be held to iron out the problems. He urged Assocham to create an India-GCC Trade Forum to discuss the various aspects of investments and help channel investments from the Gulf. Mr Sastry said GCC entrepreneurs with huge capital reserves were willing to invest in India in infrastructure sectors.