Global Rice News

The government has taken a crucial step by establishing a task force under the Department of Commerce to address non-tariff barriers, according to Parliament. Non-tariff barriers include challenging requirements such as prior registration in the exporting country, burdensome testing and certification procedures, and unreasonable domestic standards. Commerce and Industry Minister Piyush Goyal stated that a task force has been formed to identify, categorize, and develop customized strategies to resolve these non-tariff barriers effectively.

India also actively engages in regulatory cooperation to ensure that global rules governing regulatory structures are favorable and consistent. This approach helps in maintaining a conducive trade environment and promotes smoother international trade relations.

In August 2019, Pakistan took several steps to downgrade bilateral relations with India, including the unilateral suspension of bilateral trade. However, Pakistan has permitted the export of therapeutic products. The Atari-Wagah border and Karachi Port are the primary trade routes between the two countries. The responsibility to resume bilateral trade lies with the Government of Pakistan.

In response to the Red Sea crisis, the government has directed the Export Credit Guarantee Corporation (ECGC) to impose a moratorium on insurance rates for Indian exporters. The ECGC continues to provide insurance coverage, and they have not refused cover for export shipments through the Red Sea. Credit risk cover is provided based on risk assessment, creditworthiness of overseas buyers, and terms of payment. Some increase in freight costs has been reported by the industry.

The government revealed that fruits destined for export to the United States are irradiated in Indian irradiation facilities. Inspections are conducted by the United States Department of Agriculture (USDA) and India’s Plant Quarantine Inspectors at approved facilities. The USDA has approved four Indian Irradiation facilities for this treatment.

Addressing the current geo-political situation, the government informed Parliament that consultations are ongoing among India-Middle East-Europe Economic Corridor (IMEC) partners. The IMEC initiative aims to connect India to the Arabian Gulf through the east corridor and the Arabian Gulf to Europe through the northern corridor. This includes a railway route that will provide an efficient and cost-effective ship-to-rail transit network for goods and services between India, the UAE, Saudi Arabia, Jordan, Israel, and Europe.

In conclusion, the government is taking proactive measures to address non-tariff barriers, ensure favorable regulatory cooperation, and maintain trade relations. Pakistan’s decision to suspend bilateral trade has impacted the trade routes between the countries. The ECGC is providing insurance coverage despite the Red Sea crisis, and fruits destined for export to the US undergo rigorous inspections. Furthermore, consultations regarding the IMEC initiative are underway among various partners to enhance economic connectivity.

Source: [link to https://m.economictimes.com]