Push services-oriented trade deal with US: Niti Aayog
NEW DELHI: Building on the model of the India-UK agreement, India should pursue a services-oriented trade deal with the US, placing strong emphasis on key sectors, such as information technology, financial services, professional services, and education, the govt's policy think tank
Niti Aayog
said in a report.
"The agreement should include robust provisions for digital trade, creating a framework for enhanced cross-border service delivery," the think tank's quarterly trade watch report said, while recommending policy measures to boost services trade.
The report, released on Monday, said India must advocate for improved visa access for its professionals, particularly under H-1B and L-1 categories. "This should include provisions for intra-corporate transferees and independent service providers, which are crucial for maintaining India's competitive edge in the global services industry," the report said.
It noted that with growing global demand for digital data services, India should seek firm market access commitments from the US in high-growth areas, such as cybersecurity, artificial intelligence, telecom, and design services. "Leveraging India's strengths in these sectors can help increase bilateral trade and innovation-led growth," the report added.
The report highlighted that regulatory barriers, such as inconsistent data compliance and intellectual property concerns hinder Indian service exports. "Joint efforts between India and the US are needed to simplify licensing procedures and address cross-border data flow issues, enabling smoother market access for Indian firms," it stated.
To expand opportunities, the report suggested that India should push for broader mutual recognition agreements that cover a wider range of professions, including engineers, architects, and healthcare workers.
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