India, US move closer on trade pact

US trade representative Ron Kirk said India and the US are moving towards a formal trade pact and are likely to ink one soon. Kirk is in Delhi for sixth ministerial of the India-US trade forum.

Kirk met commerce minister Anand Sharma, who has called for a strong intellectual property rights (IPR) regime. Both countries are also looking at signing a cooperation agreement to protect intellectual property, Sharma added, without divulging details.

“We have made progress towards framework for formal trade, which we hope to sign in the near future. The US is excited to improve relations with India,” Kirk said. On IPR, Kirk said intellectual property rights need to improve and provide impetus to the entrepreneurs.

He added that there is a need for India to open up its business environment. “By opening up of business environment we mean greater access to Indian market in the financial services,” he said.

Kirk mentioned infrastructure, healthcare, education and information and communication technology as potential areas for co-operation. Another specific issue discussed was working towards sensitising small and medium businesses in trade.

On farm subsidy, Kirk said: “The issue has to be handled very carefully. It has to be handled through successful completion of the Doha Round. The US believes that completing the round is the right thing to do for small countries. We have to find a meaningful balance for market areas for developing economies.”