Fish, cashew may be included in EU FTA negative list

About 40 varieties of fish, cashew kernels and salted & roasted cashew are among the products which should be included in the negative list of items for India-European Union Free Trade Agreement (FTA).

This was suggested at a meeting organised here by the Confederation of Indian Industry (CII) and the Ministry of Commerce to elicit the views of the stakeholders for preparing the negative list of items for Indo-EU Trade Agreement.

Charles George, president, Kerala Matsya Thozhilali Iykya Vedi suggested to include all 40 fish items in the 'most sensitive list' as the sector was experiencing 'untold sufferings' and deprivation, consequent to fish import from Thailand based on FTA.

"The present move will further aggravate the situation," he said. In India, about 85 lakh people are engaged in fishing as their sole means of livelihood. The catch from the sea was meagre and the operational costs are higher and most of them operate in traditional crafts.

The Association of Planters of Kerala said the plantation sector, comprising tea, coffee and rubber, were highly labour intensive. There are 10 lakh workers in Kerala alone in the sector.

Under the SAARC agreement, when tea was allowed to be imported from Sri Lanka, India was badly hit. "Though it has been stopped now, there should not be a repeat of the earlier agreement," he said during the session.

The association do not want the plantation products in the negative list.

The Cashew Export Promotion Council wanted cashew kernels and cashewnut salted and roasted to be included in the sensitive list.

India exports cashew in plain bulk form and it is being processed in EU. This could be exported back in value added form, which would hit Indian products, the council said.

The cashew shell (raw cashew) was in the 'most sensitive list' and the council has asked for its removal as the EU does not produce cashew. Since domestic cashew production is not sufficient, India is importing as much as it produces.

The Spices Board said it had 20 per cent market share in EU and does not want spices and its value-added products in the negative list.

Ajay Srivastav, Director Department of Commerce, Union Commerce Ministry, said the views of various stakeholders were heard today and some have been asked to mail their views by Sunday. Consultations have been going on with stakeholders for the past 3 months, he said.

Based on past export performance, India's relative competitive index, a list would be prepared, he said.

The United Nation Conference on Trade and Development (UNCTAD) Study, sponsored by the Department of Commerce, had listed 401 items as sensitive. But this list was not final. "We will be adding or deleting some of the items in the list", he said.

Similar meetings were held at Kolkata, Bangalore, Lucknow, Ahmedabad and Coimbatore. Industry interaction would be completed in two weeks.