Underlining the need for expeditious progress to address all trade and investment policy issues, India and the US have agreed to consider establishing a Joint Committee on Investment in Manufacturing.
In a joint statement, issued yesterday after the Oval Office meeting between Prime Minister Manmohan Singh and US President Barack Obama, the two leaders underlined the need for expeditious progress to address all trade and investment policy issues of bilateral concern so as to remove obstacles and improve the business environment.
In this respect, both sides agreed to consider establishing a Joint Committee on Investment in Manufacturing, the statement said, adding that the leaders also committed their officials to work toward a successful outcome at the World Trade Organisation Ministerial Conference in Bali.
The PM and US president praised the contribution of the IT companies in bilateral trade which assumes significance in the backdrop of concerns the Indian IT industry have raised about certain provisions of the comprehensive immigration bill.
The bill aims to address the misuse of the popular work visa regime by illegal emigrants. The Indian side has been arguing that Indian IT professionals are temporary workers and not emigrants.
The proposed law says all companies with 50 per cent or more employees from outside the US will have to pay a higher visa fee of USD 10,000 per worker. At present, the fee is USD 4,500, and it used to be USD 2,000 for H-1B and L1 visas till 2010.
Obama and Singh noticed that two-way trade has increased fivefold since 2001 to nearly USD 100 billion, and agreed that there are no insurmountable impediments to bilateral trade increasing an additional fivefold.
"Obama expressed confidence that the ongoing Indian economic reforms and policy measures to liberalise India's economy would accelerate economic growth, opening greater avenues for trade and creating jobs in both countries," the joint statement said.
The leaders reaffirmed their commitment to concluding a high-standard Bilateral Investment Treaty (BIT) that will foster openness to investment, transparency, and predictability, and thereby support economic growth and job creation in both countries.
Obama and Singh also welcomed the robust cooperation in cutting-edge scientific research and joint collaboration in science, innovation and entrepreneurship.
