The Financial Express

6^th April 2006

Free trade initiatives start paying rich dividends: Nath

             Commerce and industry minister Kamal Nath has said that the foreign trade policy (FTP) initiatives of the government are paying rich dividends evident from the fact that merchandise exports from India have touched $ 100 billion, up from $ 63 billion in 2004.

             Addressing scholars at the 40^th convocation of the Indian Institute of Foreign Trade (IIFT), Mr. Nath cautioned that the barriers in developed countries had now become more subtle and were mostly in the form of non-tariff barriers (NTBs) and sanitary & phytosanitary (SPS) regulations.

             “The non-tariff barriers to trade, often in the guise of health or environment or social concerns are the new instruments of discrimination which we have to fight against,” he said.

            However, Mr. Nath pointed out that things were looking up for India with its total economic engagement with the world, including imports, topping $350 billion.

             “This reflects our growing significance in international trade.  Our tariffs are coming down to Asean levels, our foreign direct investment regime is increasingly liberal and our domestic laws are TRIPS – compliant,” Mr. Nath said.