COMMENTARY
INTERVIEWS
SPECIALS
CHAT
ARCHIVES

Shun protectionism, reform faster, lift import barriers, advise Swiss

Indian economy is in need of further and faster reforms in areas of services and financial sectors, particularly insurance sector, in order to improve the bilateral trade between Switzerland and India in future, said the visiting president of Swiss Confederation, Flavio Cotti.

He said that there is an upward trend in Swiss activity in Indian financial sector in expectation of progressive liberalisation in the insurance sector.

The president also called upon the Indian government to lower the import tariff barrier mainly in consumer goods like watches and suggested that India must keep the door open to free trade in spite of the present slowdown in global trade. ''We should not resort to new protectionist measures out of fear from short-sighted political motives,'' he observed.

Cotti who is heading a high-level Swiss delegation to India, held meetings with Maharashtra governor Dr P C Alexander, Chief Minister Manohar Joshi, government officials and industrialists.

Joshi said that there was good scope in Maharashtra to develop tourism industry with the help of Swiss expertise since the state has a variety of natural beauty like sea, mountains and valleys.

He also called upon the delegation to explore the possibility of investment in agriculture and financial sectors of the state which recently had successfully completed a global convention on agro-industry.

Switzerland has a seven-year bilateral programme with India which includes development of human and financial resources, improvement of sericulture, small-scale industries and environmental protection.

''We have all regulatory requirements in place such as elimination of double taxation, investment protection laws and trade regulatory framework as per the WTO norms, said Nicolas Imboden from the ministry of Swiss economy.

While India became an attractive target for foreign direct investment, Nicolas said that further deregulation in sectors like insurance and pharmaceutical industry would improve India's competitiveness in the face of fierce competition from other Asian economies and Latin America.

For small scale industry, he informed that Swiss government has developed new instruments for small and medium Swiss enterpreneurs to promote their investment in overseas centres.

Swiss industry has been very active for the past 35 years in many rural, industrial and social projects in India, particularly through joint collaborations with Indian businessmen or non-governmental agencies.

Recently, Swiss embassy in Delhi has prepared a profile of 95 projects in India where Swiss investments were made in the past.

UNI

Business news