New Delhi, July 16: For the first time, barter deals have been mooted in Indo-American trade. The proposal envisages India exporting engineering goods like castings, hand tools, machine tools and electronic components, and in return importing electric power generation and transmission equipment and textile machinery.
According to Mr. Stephen Duncan Peters, Counsellor for Commercial Affairs in American Embassy here, the barter arrangement has been thought of, as India has to divert its limited foreign exchange resources to buy oil.
Two senior officials of American Embassy are now in the U.S. to sell the barter idea to American businessmen, as this represents a break from their trading methods. The Embassy officials, who have mooted this proposal, have assured American businessmen that the barter would be tried only for two items — power equipment and textile machinery.
American businessmen have been told that about one-fifth of the world’s trade is to-day conducted under barter or similar trade arrangements. Further, the barter deal has been mooted for the two items not by choice but out of necessity.
Mr. Duncan Peters is confident that U.S. manufacturers will agree to this barter idea which is one of the new grounds being explored to step up Indo-American trade. The U.S. is one of the largest trading partners of India.
Published - July 17, 2024 04:37 am IST
