The scope for achieving
substantial expansion of bilateral trade between India and France
was underlined during extensive discussions which took place
at a meeting here today between Shri Arun Jaitley, Minister
of Commerce & Industry and Law & Justice and the two
visiting French Ministers – Mr. Francis Mer, the French Minister
of Finance, Economy & Industry and Mr. Francois Loos, the
French Minister for Trade & Commerce. While discussing bilateral
trade, Shri Jaitley took up market access issues of concern
to India, particularly in respect of Indian seafood exports
to France. He also highlighted India’s concern relating to the
continued use of anti-dumping actions against Indian bedlinen
in the EU as textile products have a large weightage in India’s
export basket to the EU market. Shri Dipak Chatterjee, Commerce
Secretary, was present at the meeting.
Both sides noted
that the present level of bilateral trade, estimated at US $
1.71 billion in 2001-02, was way below the actual potential
notwithstanding the 16% growth registered in the first 7 months
(April-October) of the current fiscal and agreed on the need
for increased diversification and expansion of the two-way trade.
Shri Jaitley said India would welcome any initiatives in this
regard. The French side indicated that the next session of the
Indo-French Joint Committee scheduled to be held in Paris in
June 2003 would provide an opportunity to discuss ways and means
of intensifying bilateral trade and economic cooperation and
invited Shri Jaitley to participate in the Joint Committee.
Responding to investment
issues raised by the French Ministers, Shri Jaitley pointed
to the continuous liberalisation that had taken place in India’s
foreign direct investment (FDI) regime with FDI even upto 100%
being allowed in many areas, especially infrastructure and a
fair dispute redressal system. Issues pertaining to procurement
policies in the award of government contracts and market access
for French wines were also raised by the French side.
Apart from bilateral
trade, multilateral trade issues in the context of ongoing WTO
negotiations also figured in the discussions. The French Minister
expressed disappointment that the US had not joined the consensus
on TRIPs & Public Health and hoped that the matter would
be resolved soon. They said France recognised that poor countries
must have access to medicines even while protecting patent rights.
Negotiations in services, especially liberalisation of financial
services, they said, was very important for France as it accounted
for 70% of the country’s GNP. However, "on the question of culture,
we would not like to open any negotiations in the WTO…. Culture
is our identity and is not a value to be exchanged", the French
Minister said
Earlier, Mr. James
Flaherty, the Minister of Enterprise, Opportunity and Innovation
for the Province of Ontario, Canada, met Shri Jaitley and discussed
bilateral trade and economic cooperation. Shri Jaitley spoke
of India’s liberal investment regime and asked Canadian companies
to take advantage of it. Both sides discussed cooperation in
the areas of telecommunications, hydro-electric power and highways
construction. Shri Jaitley pointed out that total FDI approved
for Canadian firms during 1991-2002 (November) had been of the
order of US $ 822.4 million and said that there was vast opportunity
for Canadian companies to participate in the building of India’s
infrastructure sector.
