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Saturday, December 5, 1998

Panel moots dept for international trade

ENS Economic Bureau  
NEW DELHI, Dec 4: A separate department of international trade and trade diplomacy as also a ``specialised apparatus'' to deal with WTO matters should be set up immediately by the government to strengthen India's negotiating skills in international trade, a parliamentary committee today recommended.

The department under the commerce ministry should have a contingent of competent personnel from the government and outside to deal particularly with complex trade issues, Ashok Mitra, chairman of the standing committee on commerce said.

Mitra said the department should maintain liaison with the ministries of external affairs and finance and planning commission as well as state government on all matters which called for a coordinated approach.

As there was an urgent need for active involvement of government in enunciating policies and specific actions in relation to World Trade Organisation (WTO), a specialised apparatus acting as a ``permanent brains trust'' should be constituted, Mitra said joined byMurasoli Maran and Dr Gopal Rao Vithal Rao Patil, members of the committee.

Mitra, who was releasing the 35th report on India and WTO here, told newsmen that the apparatus should include both government and outside experts in the fields of law, technology, diplomacy, foreign trade and economics.

At the broadest level, the specialised apparatus should facilitate India in taking the initiative to set the agenda and raise issues at the WTO, rather than simply reacting to the agenda set by the U.S., the committee said in its report.

Issues relevant for India to include within the ambit of such an apparatus would be the lack of proper implementation of the Urguay Round of agreement by the developed countries, the growing problem of increased concentration of world production and distribution effectively encouraged by the WTO since 1995.

The need for protection of bio-diversity and the rights of people to indigenous resources and controls on labour mobility which continue to be enforced by advanced nationsshould also be covered by the new machinery, the committee said.

Also, the new body should help government respond to and deal with new issues likely to be proposed by developed countries. The most important of these are the debates over so-called labour standards, social clause, and the proposed multilateral agreement on investment.

The agency should assist the government to develop a more coordinated approach with other developing countries.'' The revival of group of 77 developing countries (G-77) is an important step in this direction,'' the committee said.

Within the country, the new body, the committee said should ensure greater coordination and information sharing between ministries as well as other concerned parties.

This will enable the government to avail of the loopholes and safeguard clauses in the existing agreement more effectively in the national itnerest, to prevent different arms of government from working at cross purposes, deal with specific cases filed by the us or against the us inthe wto's dispute settlement panels more speedily and competently.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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