Exit door is always there in WTO: Nath

Tag : Agriculture Machinery Component


"Liberalisation of services is a key component of the Doha round.It is part of the single undertaking and there could be noagreement in the Doha round without binding commitments in the areaof services," Mr Kamal Nath said while addressing a press briefingin the Capital before leaving for Geneva for his pre-ministerialmeet consultations with various member countries.

This would mean even if there is good progress on the modalities ofthe farm and Nama (industrial goods), it could all come to naughtif there is no progress in services subsequently. When askedwhether India had the option of walking out of the negotiations,the minister said: "We have the full option to walk out." However,he added that the ministerial would lead to progress in the talksand its closure.

The minister said in services there has to be commitments for bothincreased market access and removal of domestic regulationshampering trade. Many areas in domestic regulations like a minimumsalary and education level for technicians going abroad to servicea gadget or machinery sold by a domestic company hampers trade, hesaid.

In agriculture, the minister said the Special Safeguards Mechanismand Special Products for protecting livelihood and food security ofpoor farmers were not negotiable. "They are make-or-break issues,"he said.

In the industrial sector too, India would continue to protect itsinfant industries like automobiles, textiles and chemicals," theminister said. "There is a strong demand from EU for opening upthese sectors, but they need to be protected," he said. However,India was looking at the proposal for sectoral elimination oftariffs. "There are sectors which could be looked at such as gems& jewellery where we are strong," he said.

The negotiations on services, which was originally scheduled nextTuesday - the second day of the five-day ministerial beginning onJuly 21 - has been postponed to Thursday. This has been done toensure that Mr Nath is able to attend the talks. The minister willfly back to India on July 20 to participate in the trust vote toprove the UPA government.