In WTO, The United States Accuses India Of Providing New Export Subsidies To The Textile Industry.

The United States has always accused India of being mistaken for it. Spin The industry provides new export subsidies instead of a full ban on subsidies in accordance with the provisions of the WTO. The United States also complained to WTO that India has ignored bilateral discussions on this issue.

Turkey also expressed dissatisfaction with the growth of India's textile exports, claiming that India's product subsidies had led to losses in Turkey's exports.

However, New Delhi refused these accusations.

A government official said: "India textiles do not despise any WTO regulation, India still needs to clarify obligations and gradually abolish subsidies. However, India has no problems in bilateral discussions with other countries, and India has made a clear statement at the recent Geneva Conference on subsidies and countervailing measures.

"WTO's agreement on subsidies and countervailing measures allows export subsidies to countries whose per capita income is less than US $1000 (about 50000) until the world trade share of specific commodities exceeds 3.25%. In 2007, India textile accounted for more than 4% of the world market share. As these countries allow subsidies to be abolished in 8 years, India will cancel the subsidy until 2015. "

The United States is concerned about the increased quotas. The India government recently subsidized the textile sector to help exporters fight the global economic slowdown.

These include export incentives for key products and key markets for export textiles, cash subsidies for export value of 2-3%, subsidies for exports to specific destinations, as well as defined export products.

A special garment was announced last year. clothing The key product plan linked to products exported to the European Union and the United States has also been extended to the end of the current fiscal year.

The India textile industry is certainly not prepared to withdraw these subsidies.

India's clothing export is the eighth largest export product in the country, and exports fell 19.46% to 3 billion 410 million US dollars in the first 5 months of the fiscal year. Cotton yarn, cloth Exports of finished products decreased by 3% to $2 billion 800 million over the same period.

However, the target of textile exports for 2012-13 years was set at $40 billion 500 million, an increase of about 22% over the previous year.

India's commerce ministry official said India must first reach a consensus on these issues according to its WTO agreement obligations. "We are ready to discuss with WTO officials and interested members at any time. However, we do not want to be forced to take hasty actions. " India The official said.