Conclusion Of Privilege Trade Status For India “Done Deal”, US Official

Conclusion Of Privilege Trade Status For India “Done Deal”, US Official

The United States decision to remove India from a key trade status is a “done deal”, claims an official, despite Washington desire for a close relationship with re-elected Prime Minister Narendra Modi.

President Trump’s Administration said in March was to remove India from Generalized System of Preferences, which offered access to goods for developing nations.

India had been the top beneficiary of the ‘deal’ under which it has exported $5.6 billion in 2017 to the United States, protested that it could also make no counter-proposal due to laws forbidding policy-making during election season.

The US Official further hoped for warm relationship with PM Modi but claims to move forward the decision taken in March.

On condition of anonymity, he continued that “I think that suspension was a done deal. Now the task is how do we look ahead, how do we work under the second Modi administration to identify a path forward.”

“We believe there is enormous potential to grow our trade relationship and to help stimulate the jobs that Prime Minister Modi has committed to bringing to an overwhelmingly young Indian population,” she added.

The US official further claims that India “remains one of the least open major economies in the world,” adding that “Trump administration is committed to ensuring free, fair and reciprocal trade.”

Trump’s Administration claims to remove India from the GSP due to trade hurdle and also terminates the status from Turkey on the ground that it is no longer a developing nation.

Donald Trump has taken a tough decision on trade even with its allies, has been incensed at Indian tariffs on high-end products, like motorcycles.

Over another main sticking point in negotiations that lead to the decision, the US has forced India release regulations on the import of the US-based dairy products.

India has protested on cultural grounds as cows in the United States are often fed blood meal from other cattle and most Hindus don’t consume beef, India asked a clarification from the US dairy industry on feeding of cows.

It claims that the US hoped to boost up relationship with Prime Minister Narendra Modi, including on defense cooperation.

The Prime Minister of India is scheduled to meet the United States President Donald Trump in late June on the sidelines of Group 20 Summit in Osaka.

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