'Flaws in world trading system need to be fixed'

Contending that there are "strategic flaws" in the global trading system, the government today said these need to be corrected for resumption of the Doha Round of WTO talks which are suspended since July.

There should not only be "relaxation" but also "justice" in the global trading system, commerce minister Kamal Nath said in the Lok Sabha today in reply to questions, adding the government was proceeding in the WTO talks with this objective in mind.

"We feel that there are strategic flaws in the global trading system which should be corrected," he said, hoping that it will be done to allow the Doha Development Round to proceed.

The Doha negotiations were suspended in July after India refused to accept certain conditions, he said, adding the impasse has been caused because of differences over the issue of subsidies, tariffs, services and rules.

India has been engaged in the WTO negotiations to ensure its "core concerns and interests" continue to be adequately addressed at each stage of the talks, he said.

Nath said India's accession to the WTO regime has brought "some difficulties" but overall the step has been beneficial for the country.

India is witnessing high economic growth of 8.5% and industrialisation has increased after it associated with the WTO system, the minister said.