Us Sanctions Wont Be A Setback: Hegde

Commerce minister Ramakrishna Hegde yesterday asserted that the US sanctions against India for its nuclear tests would not cause any setback to the economy and said Washingtons action must be taken as a challenge.

I am not worried. We are not that weak, Hegde told reporters here and expressed hope that President Bill Clinton would not go out of the way to influence other nations against India.

Hegde said he understood the compulsion of the US in taking tough action under its domestic laws but wondered why similar steps were not taken against France and China for exploding nuclear devices.

 

We have to talk to other countries, said Hegde, who is likely to lead a team to the World Trade Organisation.

Later, he told businessmen at the Federation of Karnataka Chambers of Commerce and Industry, that there was no need to be apprehensive about the sanctions.

He said India had shown its capability to the world, particularly the nuclear powers who were wallowing in being members of the nuclear club and not allowing other countries to develop technology.

Hegde said the decision on exploding the nuclear devices had not come a day too early and referred to Pakistans testing of the long-range missile Ghauri recently.

The fact that the name of Mohammed Ghauri who invaded India has been chosen by Pakistan for the missile itself shows how deep its hatred is, Hegde said.

He said terrorism in India was being aided and abetted by that country.

The US sanctions, he said, must be taken as a challenge and the country must ensure regeneration of economic activity.

We need not be under apprehensions and fear. We shall go ahead and face the situation, Hegde added.

The minister warned exporters supplying bad quality goods, saying they were doing irreparable damage to Indias reputation.

I will blacklist them. It is not cheating an individual. It is the blackmark it draws (on the nation), he said.

Hegde referred to export of rice to Indonesia and Kenya which was absolutely rotten and unfit for human consumption and also the cheap quality oil cakes sent to Malaysia.

This has done irreparable damage to Indias reputation. Such exporters must be outcast, he said.

Quality and timely delivery affected individual exporters as well as the nation and Indias reputation as an exporter country is not high globally, he said.

He hoped that exports would grow at 20 per cent, as envisaged in the modified Exim policy and said the task was far from impossible if we work with determination.

Hegde also noted that the interest on export credit was high and said its recent reduction by 1 per cent from 12 to 11 per cent by the Reserve Bank of India was not enough.

He wanted the rate to be slashed by an additional 1 per cent.