 "India ready to thwart China’s plans! Support received from 3 more countries, fire test next week")
Arch rivals India and China are facing each other once again. This time the battle is not about armies but about trade and China is seen to be in a strong position. India has also prepared and secured the support of 3 more countries. Now the fire exam will be held on December 16 and 17. Experts have already expressed apprehensions that if China succeeds in its plans, it will not be good for India’s business and may also affect foreign direct investment (FDI) in the future. is
In fact, the China-led Investment Facility Development (IFD) agreement has so far received the support of 128 of the 166 countries of the World Trade Organization (WTO). At present, India stands strongly against it and has the support of South Africa, Namibia and Turkey. An official of the central government said that the decision in this regard will be taken at the WTO to be held in Geneva on December 16-17. can be taken up in the meeting of the General Council.
Why is China’s opposition necessary?
It is very important for India to counter China’s IFD from a trade perspective. This is happening at a time when investment flows are moving away from China to other countries. Especially because of the potential US-China trade war and weak consumer demand in China. This investment is now moving rapidly to ASEAN countries, as Chinese companies increase their overseas assets to record levels.
Pakistan went with China
The path for India looks a bit tougher, as neighboring Pakistan, which was not part of the IFD earlier, is now seen joining hands with China. China has the support of 128 of the 166 members of the World Trade Organization. The US is not opposing it, but has decided to stay out of this agreement. Clearly America is not going anywhere.
India’s claimant-supporter in misunderstanding
The central official said that India believes that many countries supporting the IFD are under the illusion that they will benefit from it. For developing countries, this agreement will affect their policy freedom. Even if other members join it, India will continue to oppose it.
On the other hand, China is asserting through the IFD that it will work to improve the global investment climate and promote international cooperation, leading to the WTO. (WTO) will facilitate the flow of foreign direct investment (FDI) between members. Especially developing and less developed countries will benefit from it. Experts believe that the agreement could harm India’s interests and limit its policy freedom on FDI. The result of this will be that India’s foreign direct investment may further decline.
India raised the issue of subsidy of fishermen
India has advocated the principle of ‘per capita subsidy distribution’ to address the problems of fishing and overfishing under the WTO framework. India informed the WTO that its annual fisheries subsidy is $35 per fisher, much lower than the $76,000 subsidy given by some European countries. India has prepared a document on this, which will be discussed in the Geneva meeting.
WTO will resolve this issue
The WTO (World Trade Organization) is negotiating an agreement that will regulate overfishing and the subsidies that contribute to overfishing. In 2022, member countries signed an agreement to reduce subsidies for illegal, unregulated and unregulated fishing. India said, ‘Adopting per capita criteria for allocation of subsidies will allow for more accurate and sustainable management of fishing and capacity issues. A basis for equality can be found.