India to oppose protectionist policies

Pranab MukherjeeNew Delhi - India is worried by signs of protectionist policies in the United States and will oppose such moves as it tries to shore up falling exports, officials said Friday.

"We are already witnessing worrying signs of protectionism in the world's biggest economy. We need to argue against this trend at the international fora," India's Foreign Minister and acting finance minister Pranab Mukherjee was quoted as saying by PTI news agency.

He was speaking at a labour conference in the capital.

"We will need to press for trade and aid flows to the developing countries and look at regional cooperation to strengthen our defences against such crises," Mukherjee said.

The US is one of India's top export destination with over 60 per cent of information technology services and 40 per cent of gems and jewellery being traded to that country.

The US economic bailout rescue plan includes a buy American clause. The government has also put a bar on firms receiving bailout money from hiring foreign workers if they replaced Americans at work.

At least 100,000 Indians are among the 163,000 that have applied for non-immigrant skilled workers visas (H1-B) visa in financial year
2009 according to industry estimates.

The US has also capped the number of (H1-B) at 65,000 a year. (dpa)

General: