US trade panel launches probe against India's trade policies

Close on the heels of dragging India to WTO on solar projects, US Federal agency USITC today started a fact finding probe into impact of Indian trade and investment policies on the American economy.
The US International Trade Commission (USITC) today began hearings on impact of India's trade policies on the US companies and jobs.
"At the end of the investigation, we will forward our finding to the US Congress ... This is a fact finding one. We believe that by having this investigation we are going to shine a light on what is going on," US-based National Association of Manufacturers' Vice-President, International Economic Affairs, Linda Dempsey told reporters in a media teleconference.

Dempsey said that the US wants India to "abide by the trading norms under the WTO.
During the recent times, the Obama administration had been strongly criticising India's investment climate and IPR laws, specially in the pharmaceuticals sector.
"We want a level playing field for the American companies and what we are seeing is that India is continuing to follow restrictive trade practices. There has been a complete deterioration of the innovation climate, which is bad for investment," said Mark Elliot, Executive Vice President, Global Intellectual Property Center, US Chamber of Commerce.

The USITC has raised the matter of rejection of patent to Bristol-Myers Squibb's Sprycel and Novartis' Gleevec. It has stated that Indian IPR laws are not Trade Related Aspects of Intellectual Property Rights (TRIPS) compliant under the WTO.

Swiss pharma major Novartis AG had lost a legal battle for getting its blood cancer drug Glivec patented in India and to restrain Indian companies from manufacturing generic drugs. The Supreme Court had rejected the multinational company's plea last year.
Representatives from pharmaceutical and IT industries are expected be in Washington tomorrow to make submissions before the USITC to explain India's trade policies.