In the previous sign of critical trade ties among the two allies, India has finally produced a complaint in the World Trade Organization against the cost of the United States work visas that are too expensive and isolated over a group of Indian IT firms. The charge was at the level of WTO consultations within the two parties and it is the final step to determine the issue before taking in a full-fledge legal argument.
An official at the trade ministry said that India is acquiring consultations in this matter and expect to solve it willingly. The official did not announce when the charge was carried to the World Trade Organization however Anand Sharma, the Trade Minister established the visa issue with John Bryson, the United States Commerce Secretary at a meeting in India last March 26 this year.
Meanwhile, the United States started the same kind of action last month at the World Trade Organization to manifest India’s market for eggs and poultry meat, delivering an Indian restriction on the United States imports appointed to prevent the transmission of bird flu was not according to sound science. After India’s economic liberalization in 1991, the commercial partnership within the United States and India was prospered.
However in the past years each party has charged the other with building unfair barriers to investment and trade growth. India’s economy has benefited mostly from the information technology companies operating offshore jobs for United States companies but this kind of outsourcing has been an issue in the U.S. presidential campaign together with President Barack Obama assuring to address jobs home from abroad.
A United States law since 2010 was the reason for India’s complain that almost twice the increase of the visa fees for competent workers to $4,500 each applicant. At the moment that the action was proposed for a small group of firms using the United States law to import employees from overseas, said by Senator Charles Schumer, a Democrat from New York and the sponsor of the bill.
The CEO of huge Indian software services exporter Tech Mahindra, Vineet Nayyar said he think that the government of India is right that this is a boundary to trade. Indian industry did not assume visa fees to lessen and would either become more effective or increase prices slightly to offset the expenses, he added. He think the Indian industry assumed that this will continue and they are trying to analyze what solution they have to endure it.
REFERENCES:
http://www.ndtv.com/article/india/india-formally-complains-about-cost-of-us-work-visas-195853
http://us.topnewstoday.org/us/article/1987734/
http://www.samachar.com/India-formally-complains-about-cost-of-US-work-visas-mekpKwffcif.html
http://www.indianewsheadlines.com/post.php?id=43528
