Kerry presses India on global

trade deal as deadline looms

U.S. Secretary of State John Kerry (L) arrives to board a plane to New elhi at !ndrews !ir "orce #ase o$tside %ashington J$ly &'(
&)*+.
BY SANJEEV MIGLANI-Wed Jul 30, 2014
(,e$ters) - U.S. Secretary of State John Kerry( who arrived in India
on %ednesday for an official visit( has pressed New elhi to drop its opposition to global trade
reforms( saying it was a test of the co$ntry.s commitment to advance economic liberalisation.
Kerry made the call in a newspaper article( penned along with U.S. /ommerce Secretary 0enny
0rit12er( p$blished ho$rs ahead of his arrival for tal2s aimed at revitalising ties that have been
mired in disp$tes over trade( intellect$al property rights and climate change.
India has threatened to bloc2 a worldwide reform of c$stoms r$les( saying it m$st be accompanied
by a parallel agreement allowing developing co$ntries more freedom to s$bsidise and stoc2pile food
grains.
3he deadline for the deal that the %orld 3rade 4rganisation says co$ld provide a trillion dollar
stim$l$s to the global economy is 3h$rsday.
Kerry said India stood to gain by creating a level playing field instead of erecting trade barriers.
5In this regard( as we wor2 with o$r trading partners aro$nd the world( India m$st decide where it
fits in the global trading system. Its commitment to a r$les-based trading order and its willingness
to f$lfil its obligations will be a 2ey indication(5 he said in the article in 3he 6conomic 3imes.
India and the United States have already clashed at the %34( with %ashington saying elhi.s **th
ho$r resistance co$ld 2ill a deal that co$ld create &* million 7obs.
3he row adds to fr$stration from both sides over the often pric2ly nat$re of what U.S. 0resident
#arac2 4bama once called 5a defining partnership of the &*st cent$ry.5
5It will be hard to ma2e a pers$asive case...for a larger economic ambition with India if India decides
to part ways with the entire %34 membership on the #ali deal(5 said !lyssa !yres( former U.S.
dep$ty assistant secretary of state for So$th !sia.
8et despite growing concern at %34 head9$arters in :eneva( a senior Indian trade official said on
%ednesday all was not lost.
5I am s$re in the co$rse of the ne;t almost +< ho$rs there will be s$ggestions coming from others(
and s$ggestions can come from $s also. %e will ma2e s$ggestions. %e are very positive and
constr$ctive(5 the official said.
3he official said India was committed to trade facilitation( b$t that its concerns abo$t a lac2 of
progress on food s$bsidies m$st be addressed. =e also said India was prepared to miss the J$ly >*
deadline if necessary.
iplomats in :eneva said they were pessimistic that Kerry.s trip co$ld provide a brea2thro$gh.
5=IS34,I/ 3,!NS"4,?!3I4N5
Kerry arrived in New elhi on %ednesday evening for an ann$al strategic dialog$e( the first
engagement with the government of 0rime ?inister Narendra ?odi that too2 power in ?ay
promising to p$t India bac2 on a high growth path.
So far( the new administration has moved slowly on reforms( and its hardening stance at the %34
s$ggests a more nationalist response on 2ey iss$es than the /ongress party.s centre-left government.
Kerry said India and the United States were on the c$sp of a 5historic transformation5 in their
relationship and that %ashington stood behind New elhi.s rise as a political and economic power.
5%e will wor2 hand in hand with 0rime ?inister Narendra ?odi and his government to promote
open and liberal trade and investment( 7obs training and closer strategic ties(5 Kerry and 0rit12er
wrote.
S$ch rhetoric( incl$ding calls to b$ild India as a co$nterweight to /hina( have fallen short of
concrete progress in the past.
isp$tes over protectionism and intellect$al property rights have so$red the b$siness climate and
India has remained ca$tio$s abo$t committing to U.S. strategic designs in the region.
3he relationship too2 a dive last year after an Indian diplomat was arrested in New 8or2 on charges
of mistreating her
domestic help( an episode that provo2ed o$trage and resentment
in New elhi.
?odi himself has yet to ma2e clear how closely he plans to wor2 with %ashington.
=e was banned from visiting the United States after =ind$ mobs 2illed more than *())) people(
most of them ?$slims( in &))& while he was chief minister of his home state of :$7arat.
3he 4bama administration so$ght to t$rn a new page by
9$ic2ly inviting ?odi to %ashington after his election( and he is d$e to travel in September.
(!dditional reporting by Krista ?ahr( "ran2 Jac2 aniel and ?ano7 K$mar in N6% 6L=I@ 6diting
by ?i2e /ollett-%hite)
0osted by 3havam