India, US to revive Trade Policy Forum after 4 years

India and United States have agreed to look after ways of resolving differences on issues like market access and digital trade besides reviving the Trade Policy Forum after four years.

Key Points

• This agreement was made at the start of a two-day visit by U.S. Trade Representative Katherine Tai.
• Negotiators from both countries struggled for more than a year to sign a trade package as India and US spar over different issues like tariffs.
• During two-day visit, US Trade representative raised market access restrictions, unpredictable regulations, high tariffs, and restricted digital trade between both the countries.

Revival of Trade Policy Forum

India and US have agreed to revive their Trade Policy Forum, after four years. The revived forum will help in expanding bilateral trade that has never live up to its potential. It will help in deepening bilateral trade by establishing regular contact of resolving obstacles.

India-US Trade Relations

United States is the second largest trading partner of India, while India is its 9th largest trading partner. Major items of import from India include information technology services, machinery, textiles, gems & diamonds, iron & steel products, chemicals, tea, coffee, and other edible food products. American items imported by India are fertilisers, aircraft, hardware, computer medical equipment and scrap metal. US is also India’s largest investment partner.

Trade Policy Forum

Trade Policy Forum programme was created in July 2005 by US President Bush and Indian Prime Minister Manmohan Singh. It is run by a representative from both the nations. This programme was created with the goal of increasing bilateral trade and investment flow.

Month: Current Affairs - November, 2021