India: Effects of Tariffs and Nontariff Measures on U.S. ... - USITC

More documents

Recommendations

Info

U.S. Government Printing Office. 2009 Fiscal Year Budget <strong>of</strong> the United States Government, 2008. http://www.gpoaccess.gov/USbudget/fy09/browse.html. U.S. International Trade Commission (USITC). Hearing transcript in connection with inv. No 332-504, <strong>India</strong>: <strong>Effects</strong> <strong>of</strong> <strong>Tariffs</strong> <strong>and</strong> <strong>Nontariff</strong> <strong>Measures</strong> on U.S. Agricultural Exports, April 21, 2009. U.S. Trade Representative (USTR). “WTO Appellate Body Reverses Panel <strong>and</strong> Finds in Favor <strong>of</strong> the United States: Offsetting Duties on Imports In Excess <strong>of</strong> Taxes on Like Domestic Products Break WTO Rules.” News release, October 30, 2008. Welch’s. Written submission to the U.S. International Commission in connection with inv. No 332-504, <strong>India</strong>: <strong>Effects</strong> <strong>of</strong> <strong>Tariffs</strong> <strong>and</strong> <strong>Nontariff</strong> <strong>Measures</strong> on U.S. Agricultural Exports, June 23, 2009. World Trade Organization (WTO), <strong>India</strong> Trade Policy Review 2007. Geneva: WTO, July 24, 2007. ———. World Tariff Pr<strong>of</strong>iles 2008: <strong>India</strong>, Geneva: WTO <strong>and</strong> International Trade Centre, July 2008. http://www.wto.org/english/news_e/news08_e/world_tariff_pr<strong>of</strong>iles_1sep08_e.htm. 5-24
CHAPTER 6 <strong>Nontariff</strong> <strong>Measures</strong> Overview U.S. agricultural exports to <strong>India</strong> face a wide array <strong>of</strong> nontariff measures (NTMs), whose application either raises the cost <strong>of</strong> exporting U.S. agricultural products to <strong>India</strong>n consumers or bars those exports completely. 1 As international agreements have resulted in the general lowering <strong>of</strong> agricultural tariff rates worldwide, the prominence <strong>of</strong> NTMs in certain countries as the next “line <strong>of</strong> defense” has increased. 2 Unlike tariffs, which are normally applied equally to all trading partners, NTMs can affect agricultural imports from some countries disproportionately. 3 Furthermore, certain NTMs have no practical effect when other NTMs are more trade restricting; U.S. exporters <strong>of</strong> agricultural products are well aware that resolving one NTM may only make others more prominent. 4 <strong>India</strong>n NTMs identified as hindering U.S. agricultural exports include quality st<strong>and</strong>ards on certain processed foods, fumigation requirements for pulses, <strong>and</strong> government monitoring <strong>of</strong> import volumes <strong>of</strong> fruits <strong>and</strong> nuts, cotton, <strong>and</strong> alcoholic beverages. <strong>India</strong>n NTMs reported to effectively block U.S. agricultural exports include unattainable st<strong>and</strong>ards for purity in wheat exports; non–science-based health st<strong>and</strong>ards for poultry, swine, <strong>and</strong> dairy exports; <strong>and</strong> effective bans on most U.S. products containing genetically modified organisms (GMOs). More broadly, all U.S. exports are affected by certain types <strong>of</strong> systemic <strong>and</strong> nontransparent <strong>India</strong>n NTMs, such as inefficient regulatory notice <strong>and</strong> comment procedures, corruption at the ports <strong>of</strong> entry, <strong>and</strong> burdensome or irregular customs procedures. Identifying trade conditions that are covered by rules or guidelines in World Trade Organization (WTO) agreements as NTMs can be difficult, <strong>and</strong> negotiating to lower or remove the measures can be time consuming. 5 Certain NTMs facing U.S. agricultural 1 Mattson, Koo, <strong>and</strong> Taylor, “Non-Tariff Trade Barriers in Agriculture,” March 2004, 1. The World Trade Organization (WTO), the World Bank, <strong>and</strong> the United Nations Conference on Trade <strong>and</strong> Development (UNCTAD) hosted a recent trade conference during which NTMs were defined using a fairly common construction: “government measures other than ordinary tariffs that can potentially have an economic effect on international trade in goods, changing quantities traded, or prices or both.” WTO Secretariat, “Data Day at the WTO: Trade <strong>and</strong> Market Access Data for Policy Makers,” May 18–19, 2009, 25. See also Nicita, “Non Tariff <strong>Measures</strong>,” May 18, 2009. The conference definition distinguished nontariff barriers as NTMs having a “protectionist intent.” As the <strong>India</strong>n government <strong>and</strong> U.S. exporters <strong>of</strong> agricultural products to <strong>India</strong> differ on the intent or purpose <strong>of</strong> <strong>India</strong>n NTMs, this chapter will focus on NTMs identified as already having had an economic effect on existing or potential U.S. agricultural exports to <strong>India</strong>. 2 For example, in discussing U.S. exports <strong>of</strong> processed foods, one industry group states that although <strong>India</strong>n tariffs have been reduced <strong>and</strong> <strong>India</strong>n barriers to investment have decreased, regulatory barriers that effectively bar U.S. exports have simultaneously increased. Industry representative, telephone interview with Commission staff, May 8, 2009. 3 A number <strong>of</strong> the <strong>India</strong>n NTMs examined here affect all imports, although sometimes to varying degrees. This chapter will focus on the effect <strong>of</strong> <strong>India</strong>n NTMs specifically on U.S. agricultural exports. 4 For example, imports <strong>of</strong> U.S. processed agricultural goods containing genetically modified organisms (GMOs) would be hindered by <strong>India</strong>n labeling regulations that differ from internationally accepted norms. Such goods are already effectively banned from the <strong>India</strong>n market, however, by rules on the importation <strong>of</strong> products containing GMOs, thus rendering labeling regulations presently irrelevant as an NTM. 5 Kulkarni, “Non-Tariff Barriers <strong>and</strong> NAMA Negotiations,” September 2005, 1–4; Kumar, Mukherjee, <strong>and</strong> Simi, “Negotiations on <strong>Nontariff</strong> Barriers Under NAMA,” 2007. 6-1
Page 1 and 2:
United States International Trade C
Page 3 and 4:
U.S. International Trade Commission
Page 5:
Abstract This report describes <str
Page 8 and 9:
TABLE ES.1 India:
Page 10 and 11:
U.S. agricultural products face str
Page 12 and 13:
U.S. Foreign Direct Investment U.S.
Page 15 and 16:
CONTENTS Page Abstract ............
Page 17 and 18:
CONTENTS―Continued Chapter 6 <str
Page 19 and 20:
CONTENTS―Continued Figures 1.1. <
Page 21 and 22:
ACRONYMS AND TERMS AAY Antodaya Ann
Page 23:
ACRONYMS AND TERMS—Continued RGGV
Page 26 and 27:
TABLE 1.1 India: A
Page 28 and 29:
FIGURE 1.1 India:
Page 30 and 31:
India’s central
Page 32 and 33:
Despite their weak economic pr<stro
Page 34 and 35:
Approach Current India</str
Page 36 and 37:
Bibliography Birner, Regina, Surupt
Page 38 and 39:
World Bank. Agriculture for Develop
Page 40 and 41:
FIGURE 2.1 India:
Page 42 and 43:
TABLE 2.1 India: A
Page 44 and 45:
FIGURE 2.3 India:
Page 46 and 47:
premium); (2) India</strong
Page 48 and 49:
include government export restricti
Page 50 and 51:
TABLE 2.3 India: A
Page 52 and 53:
FIGURE 2.6 India:
Page 54 and 55:
Exports by Major Trading Partner <s
Page 57 and 58:
CHAPTER 3 Domestic Consumption Over
Page 59 and 60:
TABLE 3.2 India: P
Page 61 and 62:
more likely to have been exposed to
Page 63 and 64:
BOX 3.3 Indian Con
Page 65 and 66:
TABLE 3.3 India: T
Page 67 and 68:
are expected to see income growth <
Page 69 and 70: Food Preferences India</str
Page 71 and 72: Regional Variation Geographic <stro
Page 73 and 74: CCC. “Know India
Page 75 and 76: CHAPTER 4 Indian A
Page 77 and 78: For most crops, however, In
Page 79 and 80: The Farm Sector soybeans 29 —but
Page 81 and 82: Food processing in India</s
Page 83 and 84: BOX 4.1 The Central Government’s
Page 85 and 86: BOX 4.2 Does the Minimum Support Pr
Page 87 and 88: August 3, 2009, New Delhi announced
Page 89 and 90: known as zamindars, have doubled or
Page 91 and 92: that the PFA Act was strictly enfor
Page 93 and 94: ———. Bharat Nirman: A Time-Bo
Page 95 and 96: Organisation for Economic Co-operat
Page 97 and 98: CHAPTER 5 TARIFFS Overview
Page 99 and 100: sensitive. They include vegetable f
Page 101 and 102: wholly milled rice and</str
Page 103 and 104: The Indian governm
Page 105 and 106: India also reporte
Page 107 and 108: Reference Prices Reference prices,
Page 109 and 110: Landing Fees <stro
Page 111 and 112: Simulated Effects
Page 113 and 114: and nuts” by $0.
Page 115 and 116: 5-19 TABLE 5.4 India</stron
Page 117 and 118: Bibliography Acharya, Keya. “Thor
Page 119: Indian Express.com
Page 123 and 124: foreign sources. 6 For example, SPS
Page 125 and 126: BOX 6.1 Milk and M
Page 127 and 128: BOX 6.2 Wheat—Continued Yet, <str
Page 129 and 130: perpetuated continuously. The impor
Page 131 and 132: notices that must be integrated wit
Page 133 and 134: import corn under the TRQ is too bu
Page 135 and 136: Customs Procedures India</s
Page 137 and 138: Corruption Interests within <strong
Page 139 and 140: TABLE 6.2 India: E
Page 141 and 142: Bibliography American Apparel <stro
Page 143 and 144: Mattson, Jeremy W., Won, W. Koo, <s
Page 145: ———. 2009 National Trade Esti
Page 148 and 149: TABLE 7.1 India: C
Page 150 and 151: First Point of Sal
Page 152 and 153: Private mandis Som
Page 154 and 155: approximately 65 million households
Page 156 and 157: 7-10 TABLE 7.2 India</stron
Page 158 and 159: poor communications infrastructure
Page 160 and 161: limited popularity with farmers bec
Page 162 and 163: The lack of infras
Page 164 and 165: found that 39 percent of</s
Page 166 and 167: Bibliography Banerjee, A. Dairying
Page 168 and 169: Tiwari, Shri Rajendra Kumar. “Pos
Page 170 and 171:
FDI Regulations and</strong
Page 172 and 173:
TABLE 8.2 India: A
Page 174 and 175:
Food Processing and</strong
Page 176 and 177:
There is not necessarily a strong l
Page 178 and 179:
For processing of
Page 180 and 181:
BOX 8.3 Restrictions on Foreign Joi
Page 182 and 183:
Under certain circumstances, FDI ca
Page 184 and 185:
commenced. States tend to be quick
Page 186 and 187:
Bibliography Bahn, Niti, an
Page 188 and 189:
International Center for Alcohol Po
Page 190 and 191:
Structure of the <
Page 192 and 193:
BOX 9.1 The UPOV System for Plant V
Page 194 and 195:
that the public sector in I
Page 196 and 197:
Whether this situation will soon ch
Page 198 and 199:
The U.S.-India Bus
Page 200 and 201:
eggplant, which began field trials
Page 202 and 203:
Maskus, Keith E. “Intellectual Pr
Page 205:
APPENDIX A REQUEST LETTER
Page 208 and 209:
The Honorable Sham L. Arano
Page 211 and 212:
cprice-sewell on PRODPC61 with NOTI
Page 213:
APPENDIX C HEARING WITNESSES
Page 216 and 217:
ORGANIZATION AND WITNESS: Tuttle Ta
Page 219 and 220:
Summary of Views <
Page 221 and 222:
advertising and pr
Page 223 and 224:
highest in the Asia-Pacific region.
Page 225 and 226:
to U.S. exports to India</s
Page 227 and 228:
transparent sanitary regulations th
Page 229 and 230:
hotel and catering
Page 231 and 232:
Western Pistachio Association 26 In
Page 233:
APPENDIX E POTENTIAL FOR U.S. AGRIC
Page 236 and 237:
E-4 TABLE E.1 India</strong
Page 238 and 239:
Page 240 and 241:
Page 243:
APPENDIX F INDIAN AGRICULTURAL PROD
Page 246 and 247:
TABLE F.1 India: A
Page 248 and 249:
FIGURE F.1 India:
Page 250 and 251:
is in nonirrigated areas with yield
Page 252 and 253:
Consumption India
Page 254 and 255:
efrigeration. This characteristic i
Page 256 and 257:
70 percent of tota
Page 258 and 259:
eportedly preferred in southern <st
Page 260 and 261:
Cotton During MY 2003/04-2007/08, <
Page 262 and 263:
Government of <str
Page 265:
APPENDIX G UNION AND STATE/UNION TE
Page 268 and 269:
certain agricultural goods in the p
Page 270 and 271:
Bibliography Chaulan, Shri U.K. “
Page 273 and 274:
Simulation Framework The effects <s
Page 275 and 276:
Producers determine the optimal sup
Page 277 and 278:
Applied ad valorem tariff equivalen
Page 279 and 280:
We considered the possibility that
Page 281 and 282:
Estimation of <str
Page 283 and 284:
Bibliography Anderson, Kym, Mariann
show all

India: Effects of Tariffs and Nontariff Measures on U.S. ... - USITC

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?