A day after India was isolated following the collapse of the Trade Facilitation Agreement (TFA) of the World Trade Organization (WTO) and received condemnation from all over the world, a section of Indian industry came out in open to support the government which vetoed the deal in ‘national interest’.
Interestingly, the support came from less influential industry associations, while big industry lobbies such as Confederation of Indian Industry (CII) and Federation of Indian Chambers of Commerce and Industry (FICCI) decided to maintain silence. Industrialists who often express their opinions on social media also stayed away from twitting on this issue.
Local industry body Indian Merchants’ Chamber (IMC) was the first to react while the whole world was berating India for its ‘suicidal’ move.
ADVERTISEMENT
“India has been maintaining that it will not adopt the protocol on the trade facilitation agreement at the WTO until a permanent solution is found on the public stock holding for food security purposes. Our country needs to adopt this stance taking into account its unique socio-economic environment as well as inflation and currency fluctuation,” IMC said soon after the deal collapsed.
“This signals a bold and welcome move of the government to indicate to the developed world a determination to protect its interests. India’s stand does not, in any way, jeopardise the recently concluded Bali deal,” said Arvind Pradhan, Director-General, IMC.
“Given the hundreds of millions of poor people in India who require some form of food security, the government is justified in its concern for them. Our country needs a clear intent on its food security programme and the government is fully justified in sticking to its guns, even if it conflicts with that of the developed world. Now that the U.S. considers India an equal partner in major international negotiations, to New Delhi, this is the right time for India to assert itself,” he added.
ADVERTISEMENT
On the same line industry body Associated Chambers of Commerce and Industry of India said: “India is fully justified in seeking a fair deal in the WTO, a deal which is balanced and in the interest of the developing countries as India cannot accept an international obligation which will disallow it to protect the vulnerable sections of the society.”
“The food security is crucial for us. While Indian industry is all for global trade facilitation, we must stand behind the government in seeking a deal that is fair to all sections of the society and not the industry alone,” said D. S. Rawat, Secretary-General, Assocham.