India insists on food security solution as WTO meet begins
BUENOSAIRES: India, at the head of a large bloc of developing nations, insisted that a gathering of the world’s trade ministers that opened in Buenos Aires on Sunday find a permanent solution on public stockholding for food security but showed flexibility on a work programme for services.
In the coming days, trade minister Suresh Prabhu, who is leading a multi-ministry delegation to the 11th ministerial conference of the World Trade Organization (MC11), will also focus on protecting the interests of India’s artisanal fishermen from a proposal to eliminate fisheries subsidies.
India is also likely to resist any attempt by developed countries to push for negotiations on setting global rules on e-commerce, holding that domestic rules on the matter are in a flux.
The meeting in the Argentinian capital follows two other “ministerials”, where India played hardball on the matter of public procurement for subsidised food distribution programme—india’s is the largest in the world—against developed countries that want penalties for countries that exceed a ceiling.
In 2013, the Bali ministerial in 2013 brought mixed results for India—a “peace clause” on public stockholding for food security purposes offered temporary reprieve from being challenged at the WTO for violations of public procurement ceilings.
But the Nairobi WTO ministerial in 2015 was considered a set- back as in their joint declaration, ministers for the first time recognised the divergence between developed and developing countries on pushing on with the Doha Development Agenda, which came against India’s wishes.
The decision was considered by trade experts as one more nail in the coffin of the languishing Doha trade deal that is positioned to help developing and least developed countries export more to developed countries and to ensure that they benefit from world trade rules.
Indian trade officials speaking on condition of anonymity said India is open to WTO finalising a work programme on services that includes parts of its earlier proposal of trade facilitation in services (TFS). India had aborted its plan to push for TFS in MC11 as its traditional African allies were opposed to it. While developed countries want to negotiate domestic regulations in services, India says some parts of the TFS such as the movement of professionals and qualification requirements for procedures, that the African group is not opposed to, can be included in a work programme. Issues like visa fees, which are redlines for the US, could be excluded, India argues.
On the proposal to eliminate fisheries subsidies that contribute to illegal, unreported and unregulated fishing, India is open to an agreement at Buenos Aires if the principle of “special and differential treatment” is protected, allowing developing countries a longer stretch of time for compliance—with protection for small and marginal fishermen.
However, given the reluctance of the US under Donald Trump to constructively engage at the multilateral trade forum and its obstruction in appointing judges to the appellate body under WTO’S dispute settlement mechanism, most countries have lowered their expectations of the December 10-13 meeting yielding any significant outcomes.
The writer is at Buenos Aires at the invite of India’s commerce ministry to cover MC11. NEWDELHI: Advertising expenditure in India will grow 12.1% to reach ₹68,334 crore in 2018, IPG Mediabrands-owned media agency Magna said in an advertising forecast report released on Monday.
The forecast for 2018 is higher than the 11.5% forecast for 2017 that the agency put out in June, which has now been cut marginally to 11.1% due to the prolonged effect of demonetisation and the temporary disruption caused by the goods and services tax (GST).
Ad spending this year is expected to reach ₹60,972 crore by December end, Magna said.
In contrast with Magna’s optimistic prediction, Publicis Groupe owned media agency Zenith India said in it’s Advertising Forecast report released last week that advertising in 2018 will grow 8.4% to reach ₹58,422 crore.
The growth in ad spends is being aided by an upswing in the economy after bold structural reforms like demonetisation and GST introduced in July, the IPG Media report stated.
“We are convinced that 2017 adex (advertising expenditure) growth was held back because of demonetisation and GST. The government’s intent to relook at the incidence of taxation is evident and there are traces of revival in economic activity. Hence, we expect 2018 to do better than 2017,” said S Venkatesh, executive vice-president, Magna India in an emailed response.