Centre set for trade talks with US envoy

NEW DELHI, OCT 24: The new government is all set to lay out the red carpet for Susan Esserman, the high profile Deputy trade representati...

NEW DELHI, OCT 24: The new government is all set to lay out the red carpet for Susan Esserman, the high profile Deputy trade representative from America to New Delhi on October 31. Her visit is expected to tie the loose ends for the Seattle Round of World Trade Organisation WTO, scheduled for December.

India and US are keen to come to an understanding on trade-related differences before the Seattle Round. Sources say the visit is being accorded high priority given the importance attached to trade issues between the two countries. Esserman8217;s visit is expected to sort out the differences between the India and the US, on some important non trade issues like labour standards and environment to be discussed at the Seattle Round. The Indian side will also focus on multilateral agreements that form part of the unfinished agenda of the previous Uruguay Round in the field of agriculture, textiles and biotechnology. Esserman will hold meetings and discussions on a whole range of trade-related issues that willfigure in the Seattle Round with the senior government officials in New Delhi besides business leaders.

She will also be meeting Minister of Commerce and Industry, Murasoli Maran and Finance Minister Yashwant Sinha. According to officials, America is keen to solve the fundamental differences it has with India on the issue of labour standards. There is an intense pressure on the US government to press for having a clause for labour standards in the Seattle Round. American business interests have been arguing that cheap labour from developing countries like India makes it easier for these countries to sell goods at a much cheaper price and they tend to lose out due to this.

However, the Indian viewpoint is that there is little scope of an universal code on labour standards, given the diverse nature of problems that prevail in India as compared to the US and other Western countries. Besides this might lead to western protectionism it is being said. The two countries are also keen to cooperate on sectoralissues like E-commerce and increasing trade in agricultural commodities as both America and India are major players in these sectors.

quot;There is a growing feeling in India that once there is increased cooperation in trade and the differences are resolved the political relationship will follow in the same direction,8221; say sources.

New Delhi has also constituted an high powered committee of the government with some cabinet ministers and senior bureaucrats for the Seattle Round. Besides government officers and businessmen are optimistic about the outcome of the talks.