India and Qatar are set to hold their first joint working group (JWG) meeting on trade issues this week to further push bilateral trade by identifying and removing tariff and non-tariff barriers, including regulatory hurdles, sources have said.<\/p>\n
The move follows Prime Minister Narendra Modi\u2019s meeting with his Qatar counterpart Sheikh Mohammed bin Abdulrahman Al Thani in Doha in February this year where the two agreed to boost bilateral cooperation in sectors such as trade, investment, energy, finance and technology.<\/p>\n
\u201cIndia wants to use the JWG meeting, led by senior officials from both sides, to initiate measures that would increase the country\u2019s exports to Qatar in order to lower the trade gap with the country. The Commerce Department recently took inputs from various industry sectors for the agenda to push for at the meeting,\u201d a source tracking the matter told businessline<\/i>.\u00a0<\/p>\n
In 2023-24, India\u2019s imports from Qatar were valued at $12.3 billion while its exports totalled $1.7 billion leading to a trade gap of $10.68 billion. Qatar was India\u2019s 23rd largest trading partner during the fiscal.<\/p>\n
\nFTA talks
\n<\/h5>\n
The India-Qatar JWG meeting scheduled on July 10 is also significant as the Free Trade Agreement (FTA) talks between India and the Gulf Coordination Committee (GCC) countries \u2014 which includes Saudi Arabia, UAE, Qatar, Kuwait, Oman and Bahrain \u2014 are yet to gather steam.<\/p>\n
\u201cAs Qatar imposes an import duty of 5 per cent on most goods, ranging from textiles to food products, tariff reduction would help Indian exports be more competitive. While the India-GCC FTA could take time, New Delhi can try and convince Qatar to reduce import duties through bilateral discussions,\u201d an industry representative said.<\/p>\n
There has been some increase in India\u2019s exports to Qatar over the last decade, facilitated by the opening of direct shipping lines linking Indian ports with Qatar, but there is much scope for further growth, the source said.<\/p>\n
The increase in exports from India has been in the area of food products, vegetables, pharmaceuticals, steel products and construction materials. \u201cThe Indian industry has submitted inputs related to tariff barriers, non-tariff barriers, Customs-related problems, regulatory issues and logistics and infrastructure,\u201d the source noted.<\/p>\n
Last month, Qatar and India held their first joint working group on investment in New Delhi to deepen economic ties with focus on sectors such as manufacturing, logistics, IT, health and education.<\/p>\n
Qatar\u2019s key exports to India include LNG, LPG, chemicals and petrochemicals, fertilizers, plastics and aluminium articles. India\u2019s key exports to Qatar include cereals, copper articles, iron and steel articles, vegetables, fruits, spices, and processed food products, electrical and other machinery, plastic products, construction materials, textiles and garments, chemicals, precious stones and rubber.<\/p>\n