Newdelhi:1/6/19:India has responded to a decision by United States of America (USA) to withdraw India’s GSP benefits with effect from 5th June 2019. In a press statement, Commerce Ministry today said that these are unilateral, non-reciprocal and non-discriminatory benefits extended by some developed countries to developing countries. It said that India, as part of our bilateral trade discussions, had offered resolution on significant US requests in an effort to find a mutually acceptable way forward. It is unfortunate that this did not find acceptance by the US.
India, like the US and other nations, shall always uphold its national interest in these matters. The statement said we have significant development imperatives and concerns and our people also aspire for better standards of living. This will remain the guiding factor in the Government’s approach.
India said it will continue to build on the strong ties with the US, both economic and people-to-people. It expressed confidence that the two Nations will continue to work together for further growing these ties in a mutually beneficial manner.
In a proclamation yesterday, President Donald Trump had terminated India’s designation as a beneficiary developing nation under the key GSP trade programme after determining that it has not assured the US that it will provide “equitable and reasonable access” to its markets.
The Generalized System of Preference (GSP) is the decades’ old trade preference programme which allows designated beneficiary countries to export goods to the United States without paying duties.