Regarding the trade talks in the World Trade Organisation (WTO), he noted that India is interested to see a successful conclusion of the Doha Development Round. This round is a development round and should address fully the inequities in the international trading system.
He said India is willing to consider the sensitivities of agriculture in the developed world, but reminded that for India it is an issue of livelihoods and food security. More than 65 % of the population is dependent on agriculture in India.
Mr Nath informed the audience that India has been unilaterally reducing import duties and peak tariff in India on most items is 10% now. He felt that the trade barriers of the future are likely to be more in the nature of non-tariff barriers (NTBs) rather thn high tariffs.
The successful conclusion of the WTO trade talks leading to a 'rule based' multilateral trading system is essential for India and the developing world.
He said that the Regional Trade Agreements and Free Trade Agreements are building blocks of the multilateral trading system and can in no way replace the WTO.
He ended his address by expressing confidence that India would effectively manage the change and reap benefits from the new architecture of globalisation.
In his view, two advantages would assist this transformation: a young population, and intellectual and entrepreneurial ability of Indians.
Confederation of Indian Industry
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