The Ministry of Commerce Will Open a Portal to Handle Non-Tariff Barriers

July 3, 2024: 

The Indian Commerce Ministry is going to introduce a comprehensive online platform to assist exporters in navigating the non-tariff barriers (NTBs) they confront, which is a key step in strengthening India’s export landscape. With regard to minor export items in particular, this program seeks to bridge the knowledge gap and expedite the settlement of these obstacles with relevant nations.

Simplifying the Registration and Resolution of Complaints

Tradesmen will be able to file complaints against NTBs through the new portal, and the ministry will handle them from there. “A portal to prioritize all NTBs is being developed. A senior ministry official clarified, “Traders will submit their concerns, and the ministry will pursue them. Prioritizing trade obstacles that impact big volumes of goods is part of the ministry’s goal to ensure that major trade issues are resolved quickly.

This project is a response to the Global Trade Research Initiative’s (GTRI) recommendations, which emphasize how critical it is that India address the non-tariff barriers (NTBs) that local exporters in important markets like the US, China, and Japan face. In order for India to meet its lofty export goal of $1 trillion worth of commodities by 2030, these obstacles must be removed.

The Strategic Advice of GTRI

GTRI has suggested a two-pronged approach to lessen NTBs’ negative effects on Indian exports. This tactic entails modernizing home systems in cases where Indian goods are rejected because of quality problems and taking punitive action if unjustified regulations or standards continue to hinder exports from India. Ajay Srivastava, the co-founder of GTRI, stressed the importance of having discussions with partner nations in order to come up with workable solutions, especially when it comes to laborious prior registration processes and irrational local norms.

Obstacles Indian Exporters Face

Higher pesticide levels, pest prevalence, and contamination issues are major problems for Indian exports, particularly in the food and agriculture industries. Important markets that provide significant obstacles to Indian exports are the US, China, Japan, South Korea, and the European Union. Products that are commonly affected by non-traditional breeds (NTBs) include fish, dairy, poultry, tea, basmati rice, chilies, and different chemical and industrial products.

Depending on the nation and the product, these barriers might take many different forms, from technical rules and import license limits to worries about food safety. Products with greater amounts of pesticides, such as tea, basmati rice, and chillies, are subject to strict regulation in the European Union. Strict domestic regulations frequently hinder Japan’s ability to export sesame seeds, shrimp, and medications. Fruits and shrimps are among the most afflicted products in the US, whereas food, meat, fish, dairy, and industrial products face large NTBs in China.

Establishing a Centralized Framework

The Commerce Ministry is also creating a specialized unit under the Department of Commerce to address these intricate trade issues. This unit will gather all NTB concerns and, if required, bring them up in talks or negotiations with the concerned nations. The goal of this unified strategy is to assist India’s economic growth goals and increase the competitiveness of Indian exports.

Closing the Knowledge Gap

There is now a significant knowledge vacuum about NTBs, particularly with regard to smaller export goods. By giving exporters a simple way to report problems and request government help, the new portal seeks to close this gap. It is anticipated that this endeavor will greatly improve the complaint resolution process’s speed and openness.

Complementing Wider Economic Objectives

The initiative of the Commerce Ministry is in line with the overarching objective of improving the conditions for Indian exporters operating in the international market. The ministry wants to promote the nation’s aggressive export goals and democratize access to crucial trade information by creating a single mechanism for reporting and resolving NTBs.

In conclusion, India’s export environment is about to undergo a radical change thanks to the Commerce Ministry’s aggressive efforts to create an online platform for eliminating non-tariff impediments. In order to ensure that Indian exports realize their full potential in the world market, the ministry seeks to remove trade barriers by utilizing technology and promoting international discourse.

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