Manufacturing Policy to Help Intensify Indo-US Ties: Rao.

 Seeking to forge closer trade and economic ties between India and the US, Indian Ambassador to US Nirupama Rao today said the National Manufacturing Policy, which was recently cleared by the Union Cabinet, would pave the way for intensified commercial ties between the two nations.

"I am sure the scope for intensification our ties is going to be considerable and enormous. Now that the new Manufacturing Policy announced by the government of India, I think there is enormous potential to expand and diversify our export basket to US," Rao told business leaders at FICCI here.

Noting that India's exports to US were dominated by commodities, Rao, a former Foreign Secretary, said there was a need to lay more focus on manufacturing exports.

"There is a need to focus on manufacturing exports and we at the Embassy and at the Consulate will be happy to work with our industry to identify specific products which can be exported to the US. In fact, we will be happy to map the US market in terms of the exports that interest you," she said.

Recalling Prime Minister Manmohan Singh's observation that Indo-US ties were a "unique blend of principle and pragmatism," she said the trade and economic cooperation between the two countries was mutually beneficial.

"India's trade and commercial engagement is at levels that have never been high as of today," she said.

On the impact of prevailing economic crisis, Rao said India had not seen any contraction of demands for its products in exports to the US market. "In fact, all top export categories from India to US are registering a positive growth," she said.

Despite the meltdown, she said Indian services sector continued to perform strongly in the US and there has been "no taking away of jobs" (in the US).

To a question on issuance of H1B visas, Rao admitted it was an issue faced by the Indian professionals, especially in the IT industry.

"We feel this is an important trade issue that impacts bilateral services trade. We also believe very strongly that the mobility of skilled professionals is a crucial aspect for the overall development of our bilateral relations," she said.

Rao also said they have taken up this issue with the Obama administration and asserted she would continue to take it up through various "government mechanisms".

On the bilateral trade relations between the two countries, she said it was growing by 20 to 30 per cent every year and was expected to reach USD 52 to 54 billion this year.

"Compared to last year USD 43 billion, the trade is likely to touch USD 52 to 54 billion this year," Rao said.

As part of efforts to strengthen ties in health front, she came with an idea of setting up a world class cancer institute in India that can draw researchers from US on a knowledge-sharing basis.

"This is an idea. It has been identified that 60 per cent of deaths in India are due to chronic diseases. We can also invite some experts to India for doing joint research and cooperation," she said.

Source : news.outlookindia.com