India and Turkey will hold discussion in the first week of April on a dispute relating to a three-fold hike in import duty by the Turkish authorities on Indian cotton textile.
The talks, to be held in Geneva on April 6, will follow India's request for mutual consultations within a framework of the World Trade Organisation (WTO).
Under the WTO rules, the countries are expected to go for formal consultations for resolving a trade dispute before it is referred to the Dispute Settlement Body (DSB) of the multilateral trade regulator.
Turkey, to which India's exports were worth over $239 million in calendar 2007, increased import duty on Indian cotton products, including yarn, to 15 per cent from the bound rate of about 5 per cent. Between January and September, shipments were worth $112 million.
"Turkey has agreed to hold consultations with us under a WTO safeguard agreement," an official said.
However, India retains the option of going to the DSB if the issue is not resolved through bilateral negotiations, he said.
Textile exporters are facing tough times as markets in the developed world have been hit by recession.