India, with the help of other developing countries, will try to hammer the point at the Cancun World Trade Organisation Ministerial conference that the developed countries would have to reduce agriculture and export subsidies.
"The fight for the developing countries in Cancun would be to force the developed world to reduce subsidies in their respective nations," Tejinder Khanna, former Indian commerce secretary said on Sunday night.
"As these nations give billions of dollars as export subsidies, the developing world would have to convince them that what has been done so far is not sufficient and they would have to give the developing world a chance," Khanna said.
"The practical position is that the US and the EU would have to reduce the subsidies. They cannot escape this," Khanna, who represented India during many rounds of WTO negotiations, said.
Participating in the BBC Hindi Special Programme 'Aapki Baat BBC Ke Saath' on the subject, 'Challenges for India at the Cancun Ministerial WTO Conference,' Khanna said India has been urging the developed countries to reduce export subsidy on agricultural produce.
"The large export subsidy being given by the developed countries does not allow the developing countries' farmers to export their produce and enter the international market."
Replying to a specific question on the options before the Indian delegation at Cancun, Khanna said, "So far as I can think, India, with the help of other developing countries, will try to hammer the point that the developed world, would have to reduce the production and export subsidies."
When it was pointed out that the Agriculture Commissioner of the EU had clearly stated that there would be no change in the Common Agriculture Policy, the WTO expert said: "In the US as well as the EU, the production level is much higher than their domestic demand. It is their compulsion to send their produce to the international market, and for this they are giving large subsidies.
"In the basic agreement for agriculture, under the WTO negotiations, it was decided that the developed countries would reduce agriculture subsidies. Now it could be for their domestic compulsions and the inherent problems within the EU that such statements on 'so policy change' are being given."
Asked whether Indian products could withstand international competition, Khanna replied in the affirmative.
"I feel that the quality of Indian products, and also the price competitiveness, along with the relaxation of rules of world trade, especially with regard to imports are good news for Indian export," he said.
"Recently Germany started a new system, when it gave visas to twenty thousand Indian IT professionals. Progress is being made in this regard, and this is a positive movement. See, at the world level, Indian professionals are regarded better than those of many countries."
He said there is growing demand for Indian skilled labour and professionals in information technology in the western world.
"For this India needs to prepare itself, more and more people should be trained for job-oriented courses and should also learn foreign languages. A beginning can be made in institutes like the ITIs and similar technical institutes."
Describing restrictions imposed by the US on H1B visas, Khanna said it was a temporary phase and the result of the September 11 terror attacks.
"But look at the top US firms -- whether it is Microsoft, Oracle or any other -- may top researchers are Indian. They may have scaled down the total number of such visas, but lakhs of Indians are still working as computer professionals.
"This would increase, and this temporary phase would pass away."
Allaying apprehensions that with India entering the free trade zone in the pharma sector, the prices of life saving drugs might go up, he said: "In the new agreement it is now clear that compulsory licensing can be done and we can also provide life saving medicines, even if it is patented medicine, under our public health care system. For ailments like AIDS, medicines can be provided even at a zero price.
