Trade policy – Rodda And Sons http://www.roddaandsons.com/ Mon, 19 Sep 2022 01:49:28 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://www.roddaandsons.com/wp-content/uploads/2021/03/cropped-icon-32x32.png Trade policy – Rodda And Sons http://www.roddaandsons.com/ 32 32 What the Indo-Pacific Economic Framework Is and Isn’t – Analysis – Eurasia Review https://www.roddaandsons.com/what-the-indo-pacific-economic-framework-is-and-isnt-analysis-eurasia-review/ Sun, 18 Sep 2022 23:19:13 +0000 https://www.roddaandsons.com/what-the-indo-pacific-economic-framework-is-and-isnt-analysis-eurasia-review/ By Riya Shah * In May 2022, US President Joe Biden unveiled the long-awaited Indo-Pacific Economic Framework for Prosperity (IPEF). Launched on the sidelines of the Quad Summit in Tokyo, Biden was joined in person by Indian Prime Minister Narendra Modi and Japanese Prime Minister Fumio Kishida, and virtually by leaders from eleven partner countries […]]]>

By Riya Shah *

In May 2022, US President Joe Biden unveiled the long-awaited Indo-Pacific Economic Framework for Prosperity (IPEF). Launched on the sidelines of the Quad Summit in Tokyo, Biden was joined in person by Indian Prime Minister Narendra Modi and Japanese Prime Minister Fumio Kishida, and virtually by leaders from eleven partner countries in South and Southeast Asia.

As initial partner nations, the United States joined Australia, Brunei, Fiji, India, Indonesia, Japan, Republic of Korea, Malaysia, New Zealand, the Philippines, Singapore, Thailand and Vietnam. This US-led economic grouping aims to prepare these economies for the future. It is broadly based on four pillars: trade, supply chain resilience, clean energy and decarbonization, and taxes and anti-corruption measures. As stated in the joint statement, the framework is “intended to advance resilience, sustainability, inclusiveness, economic growth, equity and competitiveness” in the region.

Hailed as the linchpin of Biden’s economic and trade strategy toward the region, the framework aims to create a free, open and prosperous Indo-Pacific with the unspoken intention of containing China. Although in its infancy, the strategic and political objective of this Quad-plus initiative is quite clear. It is ultimately a geostrategic platform that attempts to fill the vacuum created by the US exit from the Trans-Pacific Partnership (TPP) and strengthen regional cooperation to counter China in the region.

Strategic rationale

The IPEF seeks to provide an alternative to the Regional Comprehensive Economic Partnership (RCEP) and the Belt and Road Initiative (BRI) in the context of China’s military and economic maneuvers in the region. Indo-Pacific economies have all grappled with BIS secrecy clauses, opaque investment practices and predatory debt traps. The IPEF distinguishes itself from the BRI by emphasizing transparency commitments and purportedly aligns with the Biden administration’s broader trade policy of inclusion and fair trade.

The Indo-Pacific accounts for more than 60% of the world’s population and almost 40% of world merchandise trade. The absence of a US presence in the region due to withdrawals from major regional trade agreements has allowed China to emerge as a normative country. With regional economic integration through RCEP, BRI, Comprehensive and Progressive Trans-Pacific Partnership Agreement (CPTPP) and Digital Economy Partnership Agreement (DEPA), China is already the largest trading partner for most IPEF countries. The IPEF thus attempts to reaffirm the economic weight of the United States and to claim its role in the decision-making processes of the Indo-Pacific.

Taiwan was excluded from the framework despite the insistence of a group of 52 US senators, signaling US reluctance to politicize IPEF and appeasing ASEAN countries with strong economic ties to China. However, this does not include China, the biggest player in the region. Beijing, in turn, called the IPEF a reiteration of “China threat theory,” a return to Cold War mentality and an “economic NATO.”

Political rationale

The Biden administration plans to roll out the framework not as a single venture but as a platform where countries can join different a la carte pillars. This approach has two objectives.

First, for the United States to pass a non-trade agreement in Asia. Since the IPEF is not a traditional regional trade agreement, it is not necessary to obtain congressional approval. As previous experiences show, there has been little domestic support for anything involving lower tariffs and the opening of US markets. Proposed trade deals with Kenya, the UK and the Environmental Goods Agreement (EGA) have all been reduced or blocked. Through the IPEF, the Biden administration is managing to establish a regional presence while pursuing a foreign policy focused on worker-centric trade policies.

Second, the à la carte system attempts to fill the gaps in market access and tariff liberalization by providing a flexible framework. Developing economies in South and Southeast Asia might seek cooperation in the lucrative areas of digital trade, but they might not be as eager to give equal priority to high-level provisions of decarbonization and carbon. ‘clean energy. Thus, thanks to its “soft law” framework, the IPEF serves as a common ground for Biden to ensure a presence in the Indo-Pacific. It simultaneously helps him avoid a messy political battle at home, with midterm elections just around the corner in November.

Pitfalls and opportunities

IPEF will have varying degrees of appeal to member countries. Some common reservations relate to the lack of detailed objectives and clear policy actions, a complex negotiation process, the lack of tariff reduction, and the likelihood that the initiative will survive US election cycles. Previous US-led initiatives – such as the Blue Dot Network, Build Back Better World, and First Movers Coalition – have made little headway, and as a result, a persistent trust deficit overshadows the latest initiative. The IPEF will only appeal to the greater Indo-Pacific if its structural flaws are corrected and if it can actually deliver tangible economic benefits instead of solely serving US security interests.

*Riya Shah is a research intern at the China Research Program (CRP) of IPCS.

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Center publishes new rules to simplify and streamline trade certificate regime https://www.roddaandsons.com/center-publishes-new-rules-to-simplify-and-streamline-trade-certificate-regime/ Sat, 17 Sep 2022 07:06:00 +0000 https://www.roddaandsons.com/center-publishes-new-rules-to-simplify-and-streamline-trade-certificate-regime/ In a bid to promote the ease of doing business, the Union Department of Road Transport and Highways (MoRTH) has notified new rules to simplify and streamline the commercial certificates scheme under the Central Rules on motor vehicles from 1989. Due to some anomalies in the existing rules, the applicability of […]]]>


In a bid to promote the ease of doing business, the Union Department of Road Transport and Highways (MoRTH) has notified new rules to simplify and streamline the commercial certificates scheme under the Central Rules on motor vehicles from 1989.

Due to some anomalies in the existing rules, the applicability of the trade certificate was subject to interpretation in many cases, resulting in the harassment of many trade establishments.

In addition, an application had to be physically filed at the RTO, which was time consuming.

The main provisions of the new rules state that a commercial certificate will only be required in the case of vehicles which are neither registered nor temporarily registered.

These vehicles may only be in the possession of a motor vehicle dealer/manufacturer/importer or testing body specified in Rule 126.

He also said that the application for business certificate and business registration marks can be done electronically on the Vahan portal, without the need to visit the RTO.

Additionally, the applicant can apply for multiple vehicle types in one application.

The deadline for granting or renewing the trade certificate has been set at 30 days, with applications not processed within 30 days being deemed approved. The validity of the trade certificate has been extended from 12 months to 5 years in accordance with the new rules.

In addition, a Concession Authorization Certificate (Form 16A) was introduced to standardize concession authorizations.

The commercial certificate was made coterminus with the concession authorization. The display of the dealership authorization certificate in showrooms/godowns has also been mandated.

The implementation date is proposed with effect from 1 November. Existing commercial certificates will remain valid until they are renewed.

–IANS

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(Only the title and image of this report may have been edited by Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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BJP again stings AAP, says bribery money was used to fund polls in Goa and Punjab-Politics News, Firstpost https://www.roddaandsons.com/bjp-again-stings-aap-says-bribery-money-was-used-to-fund-polls-in-goa-and-punjab-politics-news-firstpost/ Thu, 15 Sep 2022 08:10:15 +0000 https://www.roddaandsons.com/bjp-again-stings-aap-says-bribery-money-was-used-to-fund-polls-in-goa-and-punjab-politics-news-firstpost/ The BJP showed the sting at a press conference in which a person linked to the alcohol trade claims that the Kejriwal-led government deliberately kept small players out of its excise policy “ made to measure”, now abandoned, to help a few people monopolize the market. The sting circulated by the BJP claims that the […]]]>

The BJP showed the sting at a press conference in which a person linked to the alcohol trade claims that the Kejriwal-led government deliberately kept small players out of its excise policy “ made to measure”, now abandoned, to help a few people monopolize the market.

The sting circulated by the BJP claims that the total amount of Rs 100 crore was donated by the alcohol giants to AAP in cash, to be used for the elections in Goa or Punjab. ANI

New Delhi: The BJP on Thursday shared an alleged sting that nails AAP’s complicity in an alleged Delhi alcohol scam, claiming that the amount of Rs 100 crore in cash was donated to the AAP government by the alcohol giants , which was later used by the Arvind Kejriwal-led party to fund Assembly elections in Goa and Punjab.

The BJP showed the sting during a press conference in which a person linked to the alcohol trade claims that the government led by Chief Minister Arvind Kejriwal has deliberately kept small players out of its now discontinued ‘tailor-made’ excise policy to help a few. people monopolize the market.

“The license fee which was Rs 10 lakh earlier has been raised to Rs 5 crore to weed out smaller players in the market. The government wasn’t getting money from retailers so they stopped setting a quota for wholesalers to earn big,” the person said in the stinging video.

The sting further claimed that while the previous commission for the wholesaler/supplier was around 5%, it is now increased to 12%. The same policy was applied in Punjab but at 10% instead of 12%.

The BJP said Kejriwal had no moral right to continue as chief minister.

The person featured in the sting is a defendant in the case registered by the CBI to investigate alleged political-related corruption, the BJP said.

BJP spokesman Sudhanshu Trivedi said the AAP government was trying to ensure that only a few people control trade-related cash flows. Delhi BJP Chairman Adesh Gupta alleged it was done for bribery.

This money was used for polls in Goa and Punjab, Trivedi claimed.

He noted that Kejriwal used to tell people to give a shot to those who illegally demanded money from them and that he would take action against the culprits.

This is the second such sting, the BJP spokesman said, and no party’s character has been so warped as that of the AAP in the past seven to eight years.

“Either Kejriwal must act or he must apologize for his statement,” he said.

“The character of the Aam Aadmi party shows that politics for him is about ‘commission,'” he alleged.

Those who benefited from the excise policy also framed it, he said, adding that the sting was already in the public domain and was not done by the BJP. The BJP only shared it, he said.

BJP leader Manjinder Singh Sirsa said Kejriwal had no moral right to continue.

The AAP chief has repeatedly claimed that the excise policy is over the edge and the BJP has used investigative agencies to target his government for political reasons.

With contributions from agencies

Read all Recent news, New trends, Cricket News, bollywood news,
India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.

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DESH must take into account the WFH https://www.roddaandsons.com/desh-must-take-into-account-the-wfh/ Tue, 13 Sep 2022 16:17:19 +0000 https://www.roddaandsons.com/desh-must-take-into-account-the-wfh/ The government formulated the Special Economic Zones (SEZ) policy in 2000 and implemented it through the Foreign Trade Policy. The objective behind the creation of the SEZs was to attract foreign direct investment, develop infrastructure, facilitate access to world markets for national companies and encourage exports. After the initial momentum, the SEZ framework fizzled out, […]]]>

The government formulated the Special Economic Zones (SEZ) policy in 2000 and implemented it through the Foreign Trade Policy. The objective behind the creation of the SEZs was to attract foreign direct investment, develop infrastructure, facilitate access to world markets for national companies and encourage exports. After the initial momentum, the SEZ framework fizzled out, leaving a gaping gap between the initial promise and actual delivery.

Moreover, India’s SEZ framework was challenged before the Dispute Settlement Body (DSB) of the World Trade Organization, which ultimately ruled that India’s SEZ policy was inconsistent with WTO guidelines.

While the SEZ framework faced challenges, the global business environment underwent a drastic change due to the pandemic-induced lockdowns. Covid-19 has forced governments to mandate a comprehensive work from home (WFH) protocol to productively engage employees and address operational challenges. Most companies continued working from home or switched to a hybrid model even after lockdowns lifted.

Pandemic effect

However, SEZs have encountered operational difficulties in obtaining FMH clearance during the pandemic and thereafter due to certain restrictions on the use of capital equipment, including laptops for specific purposes, the movement goods from/to SEZs, issuance and validity of ID cards, etc., leading to commercial losses and an obligation to start work “on site” and even prompting units to rethink their pursuit in the framework of the SEZ program.

The government has recognized the challenges facing SEZs and to address the concerns, the Department of Commerce issued a notification on July 14, 2022, inserting a new Rule 43A in the SEZ Rules, 2006, establishing a policy allowing teleworking for SEZ employees. units.

The new rule defines the categories of employees – i.e. IT and IT services employees, temporarily incapacitated employees, traveling employees and employees working off-site – who will be allowed to WFH or any location outside the SEZ, subject to a limit of 50 percent of the total number of employees. The validity of this authorization will be one year from the date of this consent, subject to an extension which may not exceed one year at a time.

In addition, the Department issued Executive Order No. 110, dated August 12, 2022, providing SOPs for implementing the provisions contained in Rule 43A. The new rule comes with several procedural and administrative compliances on SEZs, removing the required flexibility.

The SEZ framework in India had been strained even before the pandemic and the ministry had formed a SEZ Policy Review Committee under the chairmanship of Baba Kalyani, Chairman of Bharat Forge, to assess the SEZ policy and make suggestions to eliminate bottlenecks. A detailed report was submitted by the committee, highlighting the need for a major overhaul of the SEZ regime.

To address operational and compliance challenges and redesign the scheme to make it more attractive, the government is formulating a new scheme — the “Development of Business and Service Hubs” (DESH). The bill was due to be tabled in the monsoon session of the Lok Sabha but was postponed. It is expected that a WTO-compliant DESH bill will be implemented in the current fiscal year, which would promote economic activity, generate jobs, attract investment, remove bottlenecks strangulation and would adopt the main recommendations of the Baba Kalyani report.

DESH should provide more flexibility to units currently operating under stricter SEZ law and to new units registering under DESH. SEZ and its successor DESH are expected to accommodate current demands, including WFH popular culture. Many units are facing a mass exodus of employees, as employees refuse to operate “on site” and prefer the telecommuting model for the obvious benefits of a better work-life balance.

The SEZs are counting on the government to implement the DESH bill at the earliest to meet the current challenges, so that the units can operate more flexibly and foster growth.

Barad is Partner and Singhania is Director, BDO India

Published on

September 13, 2022

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The edge of the hedge: India’s shrewd but selfish non-aligned diplomacy https://www.roddaandsons.com/the-edge-of-the-hedge-indias-shrewd-but-selfish-non-aligned-diplomacy/ Sun, 11 Sep 2022 20:41:52 +0000 https://www.roddaandsons.com/the-edge-of-the-hedge-indias-shrewd-but-selfish-non-aligned-diplomacy/ After clashing in the western Himalayas for more than two years, with more than 100,000 troops deployed on what is considered the highest battlefield in the world, the Chinese and Indian armies are finally disengaging. The latest breakthrough, announced on Thursday, comes after 16 rounds of negotiations since June 2020, when around 20 Indian soldiers […]]]>

After clashing in the western Himalayas for more than two years, with more than 100,000 troops deployed on what is considered the highest battlefield in the world, the Chinese and Indian armies are finally disengaging.

The latest breakthrough, announced on Thursday, comes after 16 rounds of negotiations since June 2020, when around 20 Indian soldiers and at least four Chinese soldiers were killed in a rare bloody skirmish. It was the worst fighting between the two sides since a border war won by China in 1962 strained ties between Beijing and Delhi.

But as Indians continue to re-establish ties with the Chinese, what does this mean for India’s perceived position as a natural “counterweight” to China? Indeed, since the invasion of Ukraine by Russia, Delhi has strengthened its relations with Moscow, Beijing’s new “limitless” partner. Are the Indians actually trying to play all sides by moving closer to the China-Russia axis while remaining a US strategic partner?


Not so fast. It’s not over yet as far as military tensions are concerned.

According to the Indians, the latest development involves the Chinese retreating from Gorga-Hotsprings, their least invasive “encroachment” that Delhi claims Beijing’s troops have made in 2020. Larger swathes of territory – including the Depsang plateau , which India claims – still have Chinese boots on the ground. Both sides have enough personnel and military equipment in the region to continue to assert that they are on a war footing.

“I won’t say the impasse is resolved yet,” says Akriti Vasudeva, a member of the Stimson Center’s South Asia program. “Disengagement is simply the withdrawal of frontline troops from their eyeball positions with each other an agreed distance back.”

Moreover, neither the Chinese nor the Indians actually left the region. or packed their gear. And no word yet on the return of troops to their peacetime positions along the actual Line of Control, the region’s de facto but disputed border.

For Derek Grossman, senior defense analyst at the RAND Corporation, peace is unlikely to hold since China fundamentally disagrees with India’s position on the border. Moreover, he expects the incursions to continue because it is essentially written: in October 2021, Beijing passed a new border law encouraging both the military and civilians to assert Chinese sovereignty in the disputed areas.

So what triggered the last thaw? On the one hand, the events that are around the corner. Chinese President Xi Jinping and Indian Prime Minister Narendra Modi are due to meet this week in Uzbekistan, where they will both take part in the summit of the Shanghai Cooperation Organization, a multilateral franchise of decades of diplomatic coordination between Moscow and Beijing, which India joined in 2017.

As the relationship between Beijing and Delhi hasn’t exactly been warm for some time, Xi and Modi “probably want to demonstrate that they are capable of problem-solving,” says Raffaelo Pantucci, a senior research associate at the Royal United Services Institute.

On the other hand, maybe they just got tired of the harshness of mountain warfare.

The deal may “just be the natural outcome of a long period of negotiation at a time when India and China were struggling to maintain their troop deployments in the Ladakh region, particularly in the winter is coming,” says Vasudeva.

More importantly, the Himalayan deal is the most recent example of India’s fluid approach to diplomacy. Delhi’s policy of “strategic autonomy” – which follows decades of official non-alignment – allows India to adopt an à la carte framework of diplomacy, entering and exiting agreements with partners and friends depending on India’s evolving interests.

For example, while pursuing an advanced maritime security dialogue with the United States last week, Indian troops joined Russian and Chinese militaries in drills in Russia’s Far East, despite US concerns. . The same week, as Delhi withdrew from the US-led Indo-Pacific economic framework, it was planning its own bilateral trade policy forum with the Americans.

This “your thing, our way” code of business conduct is cross-cutting. While India is a member of the Quad dialogue alongside Australia, Japan and the United States, it remains engaged with Russia and China on the diplomatic, trade and even defense fronts.

Modi buys Russian oil, but regularly hangs out with the G7 gang. Even now that they have reached the disengagement agreement with Beijing, the Indians plan to conduct joint exercises with US forces near the disputed Himalayan territory.

For India, the policy works because it keeps competitors on their toes and incentivizes partners to continue courting India and even fighting for its business. But for those who count on India to be a reliable partner, even an ally, and a counterbalance to China, the doors of New Delhi are not really wide open.

Pantucci sees two major flaws in the argument that India is a natural counterbalance to China.

First, “they have a lot of problems at home that cause problems with Western powers. These are pressures of democracy. Second, he says, “the truth is that the Indians have always wanted to cover and place themselves in more unaligned space than any type of block against anyone else.”

But the recent disengagement does not change the basic reality that Delhi sees China as a strategic threat. In fact, Vasudeva points out, “The 2020 stalemate has further reinforced the thinking in Delhi that whatever India has done in recent years to accommodate China…has not helped and China has continued to undermine Indian interests”.

India, she adds, no longer believes it can improve its relations with China. As far as Delhi is concerned, all that can be done is to manage the relationship so that it does not get worse.

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IPEF meeting was fruitful, says Union Minister Piyush Goyal as India stays out of trade policy pillar https://www.roddaandsons.com/ipef-meeting-was-fruitful-says-union-minister-piyush-goyal-as-india-stays-out-of-trade-policy-pillar/ Sat, 10 Sep 2022 09:22:18 +0000 https://www.roddaandsons.com/ipef-meeting-was-fruitful-says-union-minister-piyush-goyal-as-india-stays-out-of-trade-policy-pillar/ India has joined three key pillars of the Indo-Pacific Economic Framework (IPEF), prompting Union Trade and Industry Minister Piyush Goyal to call India’s first in-person ministerial summit US-led initiative of “inclusive and successful”. However, India chose to stay out of the crucial trade pillar. Goyal said the outlines of the framework — particularly on the […]]]>

India has joined three key pillars of the Indo-Pacific Economic Framework (IPEF), prompting Union Trade and Industry Minister Piyush Goyal to call India’s first in-person ministerial summit US-led initiative of “inclusive and successful”.

However, India chose to stay out of the crucial trade pillar. Goyal said the outlines of the framework — particularly on the required environmental, labor, digital trade and government procurement commitments — are still emerging.

Pointing out that India had engaged very comprehensively in all the different streams of discussion, Goyal said that on three of the four pillars related to supply chains, taxation and anti-corruption and anti-corruption energy, India was comfortable with the outcome and the text and joined the statement.

The Union minister also said that India was strengthening its own digital framework and laws, especially on privacy and data. He added that while continuing to engage in the trade component of the IPEF, the Indian side will wait for a broader consensus on certain aspects among all nations.

“We need to see what benefits member countries will derive and whether conditionalities on aspects such as the environment may discriminate against developing countries that have the imperative to provide low-cost and affordable energy to meet to the needs of our growing economy,” said Goyal.

IPEF has 14 members – Australia, Brunei, Fiji, India, Indonesia, Japan, Korea, Malaysia, New Zealand, Philippines, Singapore, Thailand, Vietnam and the United States. Goyal said he was confident that together the 14-member group “will set the rules for trade between countries that believe in fair play, transparency and rules-based trade in the future.”

Goyal held bilateral meetings with US Trade Representative Katherine Tai, US Trade Secretary Gina Raimondo and Australian Trade Minister Don Farrell on the sidelines of the IPEF meeting in Los Angeles.

“Our trade and investment ties have been strengthened with the signing of the Economic and Trade Cooperation Agreement. We discussed ways to further boost bilateral trade and cooperation within the framework of IPEF,” he said. he tweeted.

— ENDS —

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SA tax base: the danger of “more mice and less cheese” https://www.roddaandsons.com/sa-tax-base-the-danger-of-more-mice-and-less-cheese/ Tue, 06 Sep 2022 08:30:31 +0000 https://www.roddaandsons.com/sa-tax-base-the-danger-of-more-mice-and-less-cheese/ South Africa’s tax base has not shrunk, but the working class has disappeared and only a small number of wealthy taxpayers contribute the bulk of the country’s personal income tax revenue. Economists and tax experts on Monday warned of a threatening national revolution as long as “ideologues and crooks” remain in power and the current […]]]>

South Africa’s tax base has not shrunk, but the working class has disappeared and only a small number of wealthy taxpayers contribute the bulk of the country’s personal income tax revenue.

Economists and tax experts on Monday warned of a threatening national revolution as long as “ideologues and crooks” remain in power and the current unsustainable level of unemployment and people dependent on the state for their survival continue.

Lily:

Perspective

Dawie Roodt, chief economist of the Efficient Group, says that even if the South African Revenue Service (Sars) is able to collect more taxes, it does not mean that the burden on taxpayers will be lighter.

“It just means politicians will have more money to spend,” he said at the annual Tax Indaba in Sandton.

According to Sars figures, about 15 million individual taxpayers contribute about 35% of total personal income tax revenue.

However, only 2% (about 200,000) contribute more than 30% of total personal tax revenue.

These taxpayers pose a “leakage risk” as the demands of nearly 30 million South Africans on some form of government assistance increase.

“The [are] lots of mice are fighting over less and less cheese and as cheese becomes more and more scarce the battle is getting closer,” says Keith Engel, CEO of the South African Institute of Taxation.

South Africa’s efforts to increase economic growth through trade and industrial policies have yielded very little in the past decade. There is no empirical evidence that policies such as localization have made a difference in economic growth, increased investment or job creation, says Paul Bondi, co-CEO of Rothschild & Co (South Africa). South).

Read: Godongwana pledges to reform and cut red tape to boost economy

Nothing wrong with patriotism, but…

There’s nothing wrong with being patriotic, but the way SA implements localization is wrong, says François Fouché, executive director of Growth Diagnostics.

“…trying to force it to swallow the industry won’t get the results the country is looking for,” he said during a session on localizing industry during the indaba.

Localization has been around since 2011 and over 40 products have been identified for localization.

Trade, Industry and Competition Minister Ebrahim Patel announced the list last year and said R240 million had been raised from the private sector to appoint technical experts to pilot localization.

Read: Treasury bans the use of imported cement on all government-funded projects

The “noise” of location has gotten louder over the past three to four years, says Luncedo Mtwentwe, MD of Vantage Advisory. There are questions about the process that was followed to identify the products and the impact their production could have on the economy.

“The government will introduce new products every year. We have to be careful with some of the populist policies because we don’t live in isolation… It’s unclear what they will achieve in terms of industrialization and global competitiveness,” he adds.

According to Fouché, there is an increase in “underhanded tactics” by the Ministry of Commerce, Industry and Competition to propose local production targets in order to suppress imports.

“I think it’s rather narrow-minded and narrow-minded to think that we can develop an industry by reducing imports.”

He adds that implementing localization while there are other constraints in the economy will only drive up prices, hurting consumers and the downstream market.

Rules of the game

Bondi says multinationals will “accept” the rules of the game if they know what they are and if they are predictable. The central problem is that they don’t understand them.

Donald MacKay, CEO of XA Global Trade Advisors, says the effect of localization and current trade policy has been “ultra-micro” interventions.

“Every element of a transaction has some sort of intervention – either through the Competition Commission or through intervention on rights issues.”

Read: New concerns over anti-dumping protection agreements

This, he says, means that every transaction has almost a unique set of requirements.

“The process then becomes unpredictable. You have to get a political agreement before transactions can take place, and that’s problematic. This process becomes corruptible,” he warns.

More maturity

According to Fouché, the country needs to be more mature in how it assesses its trade and industrial policies. They should be judged on their results and not on their intentions.

“We shouldn’t use localization to protect what we already have. We should use it to produce goods that we don’t have.

There is a common characteristic between poor countries and rich countries.

Rich countries produce a wide range of reasonably complex goods, while poor countries — and South Africa is moving in that direction — produce less complex goods and fewer of those goods, Fouché says.

South Africa’s international competitiveness, if measured by economic complexity, has deteriorated while other African countries such as Botswana, Mauritius and to some extent Kenya have experienced an increase in economic complexity.

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Reviews | On this Labor Day, unions are more popular than they have been in decades https://www.roddaandsons.com/reviews-on-this-labor-day-unions-are-more-popular-than-they-have-been-in-decades/ Sun, 04 Sep 2022 15:00:00 +0000 https://www.roddaandsons.com/reviews-on-this-labor-day-unions-are-more-popular-than-they-have-been-in-decades/ Comment this story Comment Granted, it’s not yet like the high tide of labor in the 1940s or 1950s. But unions are staging a remarkable comeback in the United States that few foresaw just a decade ago. Government policies are changing in favor of workers. The unions win the professional elections in the blink of […]]]>

Comment

Granted, it’s not yet like the high tide of labor in the 1940s or 1950s. But unions are staging a remarkable comeback in the United States that few foresaw just a decade ago.

Government policies are changing in favor of workers. The unions win the professional elections in the blink of an eye. And just last week, Gallup reported that union approval had risen to its highest level in 57 years.

After a long period in which Labor Day became the occasion for union obituaries, 2022 marks a renewed public appreciation for collective action, collective bargaining and the idea of ​​solidarity.

Work friends might well react by saying: it was about time. In truth, the new appreciation of what unions can achieve and what workers are entitled to expect has been built over a long period of time.

All public discussions of growing income and wealth inequality have proven to be much more than academic or ideological exercises. Workers have personally felt inequality – and are reacting to it.

The long-term impact of the economic collapse of 2008-2009, followed by the upheavals of the pandemic a decade later, swung attitudes from a celebration of pure market individualism in favor of labour.

Gallup found that union approval hit low points of 48% in 2009 and 52% in 2010. They have since risen — to 61% in 2017, 68% last year and 71% last week, a peak not reached since 1965.

At a time when so many attitudes are racially divided, Gallup found that whites and non-whites were equally supportive of the job. Approval spanned several generations – at 72% for those under 54 and 70% for those 55 and over. Support for organized labor, near unanimity among Democrats, is actually bipartisan: 89% of Democrats endorsed unions, as did 68% of independents and 56% of Republicans.

Opinion translates into action. Vox’s Rani Molla documented how well-publicized labor victories — at Amazon, Apple, Chipotle, REI, Starbucks and Trader Joe’s — are just the most visible part of a larger trend. (Jeff Bezos, the founder of Amazon, owns The Post.)

Unions have won more representation elections in 2022 than they have won in nearly 20 years, Molla reported. Their success rate has risen from just over 50% in 2000 to 76.6% this year. And three times as many workers went on strike in 2022 than in 2021, she reported.

Another factor in favor of unions, as noted by Post labor reporter Lauren Kaori Gurley, is a “hot labor market that has given workers more bargaining power.” Young workers, in particular, are not burdened by past job failures and feel liberated by the availability of employment.

And “even a slowing economy,” Gurley wrote, “would not necessarily undo the cultural shifts that drove the growing popularity of unions, especially among young, college-educated workers.”

All of this is happening against the backdrop of an administration trying to live up to President Biden’s pledge to be “the most pro-union president to lead the most pro-union administration in American history.” .

Jennifer Abruzzo, the general counsel for the National Labor Relations Board, has been pushing to reverse rulings and practices that have hampered union organizing efforts in the past. And Katherine Tai, the United States Trade Representative, insisted on what she said last month at the United Steelworkers Constitutional Convention as a program “designed with workers, for workers.”

“Our trade policy,” Tai told the union, “cannot be a way to undermine workers’ rights and outsource jobs,” adding, “workers’ satisfaction is our top priority.”

A surge of new organizations will not undo years of union decline. Efforts to change labor laws to make it easier to unionize have failed even in Democratic-controlled Congresses. The new shape of the economy – with fewer manufacturing jobs on which workers built their power between the 1930s and 1960s – creates challenges that the movement has yet to master.

But the new workers’ history, based on an adherence to the promise of triumph through common struggle, runs counter to many tendencies in our politics, and it helps. Unions have the ability to bring Americans together across very deep divisions. Republicans have yet to shift their largely anti-working class policy stances to accommodate a new constituency that includes large numbers of working class voters. You would never know from the party’s hostility to the unions how sympathetic the GOP base is to what they do.

Labor Day is a celebration of workers and their dignity. So now is a good time to ask whether our country’s discontent should be channeled through culture wars and racial prejudice. Rising support for unions points to a different path, a practical quest to lighten daily burdens by improving wages, benefits and working conditions. It beats empty, angry, divisive demagoguery any day.

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U.S. Trade Rep extends Trump-era tariffs on China as government revises policy – Opinion https://www.roddaandsons.com/u-s-trade-rep-extends-trump-era-tariffs-on-china-as-government-revises-policy-opinion/ Fri, 02 Sep 2022 20:40:13 +0000 https://www.roddaandsons.com/u-s-trade-rep-extends-trump-era-tariffs-on-china-as-government-revises-policy-opinion/ Umer Jamshaid Posted on September 03, 2022 | 01:40 WASHINGTON (UrduPoint News/Sputnik – September 03, 2022) The United States Trade Representative (USTR) extends Trump administration-era tariffs on Chinese goods while the government reviews economic policy, according to a notice published Friday in the Federal Register. “The U.S. Trade Representative has determined that the (tariffs) did […]]]>

Umer Jamshaid

WASHINGTON (UrduPoint News/Sputnik – September 03, 2022) The United States Trade Representative (USTR) extends Trump administration-era tariffs on Chinese goods while the government reviews economic policy, according to a notice published Friday in the Federal Register.

“The U.S. Trade Representative has determined that the (tariffs) did not end on their four-year anniversary date and will therefore remain in effect because at least one domestic industry representative who benefits from them.. .has submitted to the U.S. Trade Representative within the last 60 days of this four-year period a written request for continuation of this action,” the notice reads.

The U.S. Trade Representative will conduct a tariff policy review and issue a separate notice outlining the review process, which will include opening a case for interested parties to submit comments, the notice added.

The authority used to impose the tariffs, Section 301 of the Commerce Act of 1974, authorizes the US President to take action, including tariffs, against foreign governments that violate international trade agreements, obstruct or restrict the American trade.

The initial imposition of tariffs on China using the authority began under the administration of former US President Donald Trump.

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Bangladesh’s exports could increase by more than 7% if logistics costs fall https://www.roddaandsons.com/bangladeshs-exports-could-increase-by-more-than-7-if-logistics-costs-fall/ Wed, 31 Aug 2022 15:37:18 +0000 https://www.roddaandsons.com/bangladeshs-exports-could-increase-by-more-than-7-if-logistics-costs-fall/ By reducing inland logistics costs by 17%, it is possible to increase Bangladesh’s exports by 7.4%, however, 35% of products are damaged at ports due to infrastructural deficiencies, experts said on Wednesday. They were speaking at a panel discussion titled “Improving Trade Facilitation for Export Competitiveness: Progress, Lessons and Policy Priorities for Bangladesh” organized by […]]]>

By reducing inland logistics costs by 17%, it is possible to increase Bangladesh’s exports by 7.4%, however, 35% of products are damaged at ports due to infrastructural deficiencies, experts said on Wednesday.

They were speaking at a panel discussion titled “Improving Trade Facilitation for Export Competitiveness: Progress, Lessons and Policy Priorities for Bangladesh” organized by the Bangladesh Policy Research Institute (PRI).

Salman Fazlur Rahman, Advisor to the Prime Minister for Private Industry and Investment, was present as guest of honour.

Regarding export diversification, Salman F Rahman said that although the ready-to-wear (RMG) sector is successful in exporting, other sectors face many obstacles.

Exports from all sectors of the country could increase if bureaucratic complexities were reformed. There were changes in the bureaucratic mindset at the highest level, but they prevailed at the grassroots level, he also said.

“The Prime Minister (Sheikh Hasina) has repeatedly asked why other export sectors are not as successful as the RMG industry. It’s because people in other sectors say they don’t get benefits like RMG. We need to seriously focus on other sectors, like we did on RMG’s exports,” Rahman also said.

“To increase exports, you need to increase port facilities. The capacity of the port of Chittagong will be further increased. Work is underway on the deep water port project in Matarbari. Once this is done, exports can be further increased. Now I am working on how to attract more investment from the local and foreign private sector,” he informed.

In his keynote address, Policy Exchange Bangladesh (PEB) Chairman, Masrur Reaz, said the gains from trade are highly relevant to Bangladesh’s development trajectory and aspirations.

High quality products, services and inputs result in good visibility and improve technical capability. Access to a larger market encourages companies to invest in R&D and foster innovation, he also said.

Trade Facilitation (TF) emerges as a key driver of trade competitiveness. It makes it possible to ensure the predictability of operations and thus contributes to the competitiveness of a country, he also specified.

“Lower-tier and developing countries stand to benefit more. Vietnam’s spectacular success in export-led growth has benefited enormously from its improvements in TF, Reaz also pointed out.

“Boosting TF will be critical to achieving Bangladesh’s development priorities and growth aspirations. We are doing well in RMG, but when it comes to non-RMG sectors, we have many opportunities to increase our export revenue,” the PEB Chairman also said.

“If we look at the share of non-RMG exports compared to other Asian countries, we find that in the agriculture and ICT sectors, our growth is very weak,” he observed.

Zaidi Sattar, President of the PRI, said that after wasting two decades of prevarication and lack of direction in trade policy, in the 1990s Bangladesh chose to pursue the policy of export-led trade development .

This was done by shifting from a predominantly inward-looking, import-replacing trade policy to an outward-looking, export-oriented trade policy by liberalizing trade, rationalizing and reducing tariffs and quantitative restrictions, moving from fixed exchange rates to flexible exchange rates, adopting partial current account convertibility, while supporting market-oriented reforms like deregulation of investment, etc., also underlined the Economist.

Following the shift to trade openness, Bangladesh has been described as a “globalizer” among developing economies.

The trade-to-GDP ratio rose from 19% in FY90 to 38% over the next 15 years, peaking at 49% in FY11.

However, trade growth has not kept pace with nominal GDP growth; consequently, the trade-to-GDP ratio declined to 30% in FY21, Sattar said.

“Make no mistake, Bangladesh’s global integration is not just limited to trade in goods. Much of our trade is in the export of factor services, such as the services of our migrant workers, under the auspices of the WTO’s General Agreement on Trade in Services (GATS),” he said. he also stated.

This brings in large amounts of foreign currency remittance income to fund our bloated import bill. Improving trade facilitation must therefore cover not only trade in goods, but also increased trade in non-factor services, such as ICT, financial services, including digital and electronic transactions, and services factors, i.e. remittances from migrant workers, he added.

Abdul Mannan Shikder, VAT (Implementation and IT) member at the National Board of Revenue, said: “We have many projects underway, in which the World Bank is supporting us. There are bond management projects that are taking off very well.

Asif Ibrahim, Director of BGMEA and Chairman of the Chittagong Stock Exchange, said, “We are facing a lot of customs issues when it comes to bonded warehouses. When we want to introduce a new product into bonded warehouses, we always face problems. »

Ahsan H Mansur, Executive Director, PRI, Selma Rasavac, Head, Market Creation Advisory, IFC, Md Hafizur Rahman, Additional Secretary (Director General), Ministry of Trade, WTO Cell, Habibullah N Karim, Deputy Chairman, MCCI, MD and CEO, Technohaven Company Ltd and others were also present.

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