In his recorded video message, Prime Minister Narendra Modi said there is global optimism and confidence in the Indian economy and India is seen as a combination of openness, opportunities and options.
Emphasizing the need for a greater focus on micro, small and medium enterprises (MSMEs). Prime Minister Narendra Modi on Thursday called for greater participation of MSMEs in global value chains. In his opening remarks at the G20 Trade and Investment Ministers’ Meeting in Jaipur, Modi said resilient and inclusive global value chains have to be built that can withstand future shocks and that India’s proposal to create a ‘generic framework for mapping global value chains’ is important in this context.
“Current global challenges, from the pandemic to geo-political tensions, have tested the world economy. As G20, it is our responsibility to rebuild confidence in international trade and investments. We must build resilient and inclusive global value chains that can withstand future shocks. In this context, India’s proposal to create a generic framework for mapping global value chains is important. This framework aims to assess vulnerabilities, minimize risks, and enhance resilience,” Modi said in his recorded video message to the ministers participating in the trade meeting.
Modi also said there is global optimism and confidence in the Indian economy and India is seen as a combination of openness, opportunities and options. Initiatives Enhancing competitiveness is a priority, alongside promoting innovation. Expanding digitization facilitates growth, complemented by transparent practices. The establishment of dedicated freight corridors fosters efficient logistics, while the creation of industrial zones drives economic diversification. Transitioning from red tape to a red-carpet approach has led to the liberalization of FDI flows, further fueling development. Initiatives like Make in India and Aatmanirbhar Bharat have given a boost to manufacturing. Above all, we have brought policy stability,” he said.
The G20 Trade and Investment Ministers’ Meeting is being held on August 24-25 in Jaipur. There are five priorities before the Trade and Investment Working Group — trade for growth and prosperity, trade. And resilient global value chains, integrating MSMEs in global trade, logistics for trade and WTO reforms.
Increasing the participation of the MSMEs in global trade and global value chains has been a priority of the Indian G20 presidency, Modi said. “We must pay more attention to MSMEs, given their key role in the global economy. MSMEs account for 60 to 70 per cent of employment and contribute 50 per cent to the global GDP. They need our continued support. Their empowerment translates to societal empowerment,” he said.
The proposed ‘Jaipur Initiative to foster seamless flow of information to MSMEs’ will address the challenge of inadequate access to market and business-related information faced by MSMEs, he added.
On Wednesday, Union Commerce and Industry Minister Piyush Goyal had invoked a “Jaipur Call for Action” with the support of G20 member countries to promote industry, MSMEs and expansion of trade. In his opening remarks on Thursday, Goyal also stressed the importance of resilient global value chains. “In today’s interconnected world, the concept of global value chains has revolutionized the way nations engage in trade and investment. However, we must acknowledge that the pandemic and other shocks have disrupted the global value chains and have made us realize the importance of resilient GVCs,” Goyal said.
The Prime Minister further said that India believes in a rules-based, open, inclusive, multilateral trading system, with the WTO at its core. “India has advocated the concerns of the Global South at the 12th WTO Ministerial Conference. We were able to forge consensus on safeguarding the interests of millions of farmers and small businesses,” he said.
Modi stressed upon digitalization of processes and the use of e-commerce to enhance market access. “I am glad that your group is working on the ‘High Level Principles for the Digitalization of Trade Documents’. These principles can help countries in implementing cross-border electronic trade measures, and reduce compliance burdens,” he said.
Listing challenges to cross-border e-commerce trade, Modi said there is a need to ensure equitable competition between large and small sellers and address the problems faced by consumers in fair price discovery and grievance handling mechanisms.
CREDIT: THE INDIAN EXPRESS
