Export Control

Statement made by India in the meeting of the General Council, WTO on December 11, 1998 under "Other Business" on the subject of Export Restrictions by the United States vis-à-vis India

January 7, 1999
Geneva

The Bureau of Export Administration of the US Department of Commerce had notified, on 19.11.1998, forty Indian entities and two hundred subordinate entities which will be covered by export sanctions. These entities are not eligible to receive exports or re-exports of items subject to the Export Administration Regulations, without a license.

It is India's view that the restrictions imposed by the United States are without justification. It represents an attempt to deny technology and products to Indian companies and educational and research institutions. The entities targeted 'include such institutions as the Institute of Mathematical Sciences, Chennai, Institute of Physics, Bhubaneswar, Indian Institutes of Technology, and a range of public sector and private sector companies, including Rashtriya Chemicals and Fertilizers, which is primarily concerned with fertilizer production. The imposition of export restrictions is not only unjustified, it is also, in our view, violative of US obligations under WTO, particularly Articles I, XI and XIII of GATT 1994. India expresses its deep concern at this development.

Unilateral action by Members cuts at the very root of the multilateral trading system. India notes with regret the fact that some developed countries have been taking recourse to unilateral action in various situations thus making multilateral trade disciplines and rules increasingly irrelevant. It is important that the entire membership of the WTO takes cognizance of this unfortunate trend and devises measures to combat it before the organization itself is threatened. We would also urge all Members to restrain themselves from taking such unilateral actions in the interests of disciplined and orderly global trade. The time has now come for the General Council and the Ministerial Conference to act with determination against all unilateral actions.


Following is a Statement made by Official Spokesman of the Ministry of External Affairs on US Government publication of "Entities List"

November 14, 1998
New Delhi

The US Government has published an "Entities List" of Government Departments, Research Institutions, Public Section Undertakings and Private Companies in India which will be subject to export restrictions and embargoes from the United States.

We regard this as a highly unfortunate development. These restrictions interfere with the free flow of trade, technology & finance and have an adverse impact on mutually beneficial business interaction.

This decision reflects the continuation of a coercive approach that is entirely misplaced and counter-productive. Such steps are unhelpful for meaningful discussions towards an improvement in bilateral relations which is desired by both countries.


Statement by India regarding lifting of some economic sanctions by US

November 07, 1998
New Delhi

We have seen news reports emanating from Washington regarding lifting of some economic restrictions imposed by the United States against India. We have always maintained that such unilateral and coercive measures are unjustified and counter-productive, and should be lifted.

India has been engaged in an intensive dialogue on a range of issues relating to disarmament and non-proliferation with the United States. These discussions have led to a narrowing a gaps of perception. We note that according to press reports, it is in recognition of this that the United States has lifted some of the measures.

We are of the firm view that all such measures, particularly, those relating to lending by multi-lateral financial institutions should go. The multi-lateral institutions in particular are economic and development-oriented organizations and should not be misused for political purposes to suit the whims and preferences of particular countries.

In this context we also note press reports quoting US Government officials stating that the US will work to permit lending from the multi-lateral financial institutions to support an IMF agreement with Pakistan "whose implosion Washington is keen to prevent". India has nothing against economic assistance to Pakistan and has consistently voted in the World Bank and other forums in favor of such assistance. The remarks attributed to US officials, however, reveal a selective and discriminatory approach which we find hard to understand and reconcile with.

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