New Delhi: The Indian Government on Tuesday downplayed the US Government’s decision of withdrawing the Generalised System of Preferences (GSP) from India. As the Indian Government officials, the effect shall be marginal but they will have discussions with their counterparts in the US for countervailing the GSP withdrawal.
Commerce Secretary Anup Wadhawan said that the impact would amount to only $190 million on the value of $5.6 billion in exports to the U.S. that fall under the GSP category.
Sources in the Ministry of External Affairs said that the Indian Government will have a series of discussions with their counterpart in the US. India has a 60-day period after which the GSP impact will come into effect.
On Tuesday, US President Donald Trump had decided to end preferential trade treatment to India. The GSP program sets zero tariffs for certain goods from a set of 120 developing countries in order to foster trade and economic development, accounts for some $5.6 billion of India’s exports to the U.S, making India the largest GSP beneficiary.
Also Read: Donald Trump Plans To End Preferential Trade Treatment To India
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