{"id":95955,"date":"2021-03-18T10:27:51","date_gmt":"2021-03-18T04:57:51","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=95955"},"modified":"2021-03-18T20:13:39","modified_gmt":"2021-03-18T14:43:39","slug":"measures-to-strengthen-india-us-economic-partnership","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/measures-to-strengthen-india-us-economic-partnership\/","title":{"rendered":"Measures \u00a0to Strengthen India US economic partnership"},"content":{"rendered":"\n<p>&nbsp;<\/p>\n<p><strong>Synopsis<\/strong>: Strengthening India-U. S economic partnership will help India to become a $5 trillion economy.<\/p>\n<h5><strong>Background<\/strong><\/h5>\n<ul>\n<li>India and the US have committed to the goal of increasing the bilateral trade in goods and services to <strong>$500 billion<\/strong>. Currently, the bilateral trade stands at $146 billion (2019).<\/li>\n<li>To achieve this, the <strong>Compound annual growth rate<\/strong> (CAGR) needs to be increased to 11.9%. The current CAGR is 7.7% per year.<\/li>\n<li>A closer economic partnership will benefit both sides in terms of GDP, employment, and productivity.<\/li>\n<li><strong>Confederation of Indian Industries (CII)<\/strong> identifies the following key areas for collaboration to boost India-U. S bilateral trade.<\/li>\n<\/ul>\n<h5><strong>What are the key areas of collaboration as suggested by CII?<\/strong><\/h5>\n<ol>\n<li><strong>First, the need to elevate partnership in Healthcare.<\/strong>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>India has emerged as the hub of global vaccine distribution<strong>. <\/strong>This has led to the establishment of a robust health care supply chain with global countries including the US.<\/li>\n<li>Along with this development, India needs to take the following steps:\n<ul>\n<li>build confidence in the Indian IPR regime,<\/li>\n<li>revive the U.S.-India Health Dialogue, and<\/li>\n<li>work on mutually recognizing standards and<\/li>\n<li>approvals to further co-operation in healthcare.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<li><strong>Second, the need to strengthen existing trade agreements. <\/strong>It can be done by;\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>Reviving<strong> the<a href=\"https:\/\/forumias.com\/blog\/explained-what-is-us-india-defence-technology-and-trade-initiative\/\"> U.S.-India Trade<\/a> Policy Forum meetings along with a cross-sector track-2 group <\/strong>to look at convergence on issues such as market access.<\/li>\n<li>Restoring the<strong> Generalised System of Preferences. It <\/strong>will help in increasing Indian exports as a result of lower duties for certain Indian products.<\/li>\n<li>Working on <strong>Free trade agreement<\/strong> that mutually benefits both.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<li><strong>Third, the need to address concerns related to the mobility of professional labour<\/strong>. It requires the following measures,\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>Strict US immigration rules have impacted labor mobility from India. India needs to push for reforming the US immigration system.<\/li>\n<li>The MoU on labour cooperation signed in 2011 needs to be updated in line with India\u2019s recent labour regulatory changes.<\/li>\n<li>Both countries should strive to finalize a totalization agreement on social security.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<li><strong>Fourth<\/strong>, <strong>strengthening cooperation in defense<\/strong>.\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>Both countries complement each other in defense. India is dependent on the U.S. for technology whereas the US can be benefitted from Indian manufacturing.<\/li>\n<li>Initiating a <strong>defense dialogue<\/strong> along with the private sectors of both sides will help in co-production and co-development in the defense and aerospace sectors.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<li><strong>Fifth, improving ties between SMEs<\/strong>.\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>A <strong>U.S.-India SME CEOs Forum to facilitate <\/strong>engagement of small and medium enterprises (SMEs). It will help US SMEs to find new opportunities for investments and sourcing from India.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<li><strong>Sixth, deepening collaboration in clean energy and climate change<\/strong>.\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>The <strong>U.S.-India Strategic Energy Partnership<\/strong> should be channelized to promote joint investments in clean energy. (industrial decarbonization, carbon dioxide removal, and green hydrogen).<\/li>\n<li>Further, initiatives such as, <strong>Advance Clean Energy Research<\/strong>, Advance Clean Energy Deployment, and Promoting Energy Access through Clean Energy need to be relaunched.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<li><strong>Seventh, <\/strong>Partnership in Digital economy<strong>.<\/strong>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>India needs to take measures to strengthen its IPR regime. It will also enable India to come out of the U.S. Trade Representative <strong>IPR priority watchlist<\/strong>.<\/li>\n<li>Strengthening IPR will allow India to gain from the US knowledge industry in the fields of robotics, space, AI and electric vehicles etc.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<\/ol>\n<p><strong>Source<\/strong>: <a href=\"https:\/\/epaper.thehindu.com\/Home\/ShareArticle?OrgId=GJM8CPHOQ.1&amp;imageview=0\" target=\"_blank\" rel=\"noopener\">The Hindu<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&nbsp; Synopsis: Strengthening India-U. S economic partnership will help India to become a $5 trillion economy. Background India and the US have committed to the goal of increasing the bilateral trade in goods and services to $500 billion. Currently, the bilateral trade stands at $146 billion (2019). To achieve this, the Compound annual growth rate&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/measures-to-strengthen-india-us-economic-partnership\/\">Continue reading <span class=\"screen-reader-text\">Measures \u00a0to Strengthen India US economic partnership<\/span><\/a><\/p>\n","protected":false},"author":10316,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230,9],"tags":[1354,1333],"class_list":["post-95955","post","type-post","status-publish","format-standard","hentry","category-9-pm-daily-articles","category-public","tag-eco_3","tag-ir_0","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":1700780074,"cached_date":1704793061},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/95955","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10316"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=95955"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/95955\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=95955"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=95955"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=95955"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}