The preferential trade treatment brings “actual benefit” of just $250 million a year to India, however, a government source said in the capital, New Delhi, adding that it hoped the planned withdrawal would not lead to trade hurdles. “GSP is more symbolic of the strategic relationship, not in value terms,” added the source, who declined to be identified ahead of a news briefing by the Indian trade ministry. It was not immediately clear what retaliatory action authorities in India, which is due to hold general elections this year, would take. Trade ties with the US were hurt after India unveiled new rules on e-commerce limiting the way internet retail giants Amazon.com Inc and Walmart Inc-backed Flipkart do business. Trump delays tariff hike on Chinese goods as trade talks progress“India has implemented a wide array of trade barriers that create serious negative effects on United States commerce,” the USTR said.

Source: The Express Tribune March 05, 2019 06:33 UTC