BPO concern: US asks India to open up its own markets
A US official said Indians must realise that job loss in US could become a political problem.business Updated: Dec 28, 2003 15:02 IST
Seeking opening up of markets by India as a response to outsourcing, US on Tuesday said trade must be a two-way street and Indians must realise that painful dislocation and job loss in the US could become a political problem.
"Outsourcing offers India job creation and investment, provides US firms with improved efficiency and profitability. This would present a true win-win situation. But to succeed, trade must be a two-way street", US Embassy Charge d' Affairs Robert O Blake, Jr said at the Asia Tech 2003 Summit in New Delhi.
"The answer to the economic challenges is not to restrict outsourcing. It is to open markets. An open international trading system has benefit of more competitive markets and the best means of ensuring it is through removal of barriers to trade and investment", Blake said.
The US official said government did have a role in helping the growth of IT sector in India through its policies as the Indian IT industry needed assistance in specific areas.
"Despite improvements in copyright laws, India still does not offer the level of IPR protection needed for a modern economy, particularly in respect to enforcement", he said.
The other area government could help by reducing and simplifying tariffs and taxes on IT products and services and policies must support establishment of a better infrastructure.
First Published: Dec 09, 2003 16:42 IST