India reiterates WTO-consistent trade policy, calls for development-oriented reforms

India's conclusion of its 8th Trade Policy Review (TPR) at the World Trade Organization (WTO) in 2024 marks a significant milestone in the country's engagement with the multilateral trading system. The TPR mechanism, established under the Marrakesh Agreement of 1994 that created the WTO, mandates periodic reviews of member countries' trade policies — major economies like India are reviewed every four years. This review comes at a critical juncture when the WTO faces existential challenges, including a paralyzed Appellate Body since 2019 due to U.S. blocking of judge appointments, and deep divisions between developed and developing nations on issues like agricultural subsidies, fisheries subsidies, and e-commerce moratoriums. The backdrop of this review includes India's remarkable economic resilience post-COVID-19, with GDP growth averaging 7-8% in recent years, making it the fastest-growing major economy. India's merchandise exports crossed $450 billion in FY2023-24, while services exports exceeded $325 billion. The review acknowledged India's structural reforms — GST implementation (101st Constitutional Amendment, 2016), Insolvency and Bankruptcy Code (2016), production-linked incentive (PLI) schemes, and digital public infrastructure like UPI and ONDC — which have enhanced trade competitiveness. Key stakeholders include the WTO Secretariat, which prepares a factual report, and the 164 WTO members who participate in the review process. For India, the Ministry of Commerce and Industry, led by the Commerce Minister, coordinates the response. Developing country coalitions like the G-33 (on agriculture), G-20 (developing nations), and LDC Group closely watch India's positions as a leader of the Global South. Developed nations, particularly the U.S., EU, and Japan, often scrutinize India's tariff structure, agricultural subsidies, and intellectual property regime. India's reiteration of commitment to "transparent and WTO-consistent trade policies" reflects adherence to Article X of GATT 1994 (publication and administration of trade regulations) and the Trade Facilitation Agreement (ratified by India in 2016). However, India has also invoked Article XVIII of GATT (governmental assistance to economic development) and the Special and Differential Treatment (S&DT) provisions to justify policy space for development needs. The emphasis on "development-oriented reforms" echoes India's long-standing demand since the Doha Development Round (2001) to address asymmetries in the Agreement on Agriculture — particularly the disparity between developed countries' massive Amber Box subsidies (allowed under 'Blue Box' and 'Green Box' classifications) and developing countries' constraints on public stockholding for food security. Constitutionally, Article 246 read with Entry 41 of the Union List (trade and commerce with foreign countries) empowers Parliament to legislate on international trade. The Foreign Trade (Development and Regulation) Act, 1992, provides the legal framework for India's EXIM policy. Recent amendments to the Customs Act and the introduction of the Customs (Administration of Rules of Origin under Trade Agreements) Rules, 2020, demonstrate alignment with WTO transparency obligations. The significance for India is multifold: economically, it reinforces investor confidence in policy predictability; politically, it strengthens India's leadership of the Global South ahead of the 13th Ministerial Conference (MC13) in Abu Dhabi (2024); socially, it safeguards policy space for programs like the National Food Security Act, 2013 (linked to public stockholding). India's push for reform of the dispute settlement system, restoration of the Appellate Body, and outcomes on fisheries subsidies (protecting artisanal fishers under Article 251 of the Constitution) reflects a strategic vision. Broader themes include the tension between multilateralism and plurilateral/regional agreements (RCEP, IPEF, India-EU FTA negotiations), the digital trade debate (moratorium on customs duties on electronic transmissions), and climate-trade linkages (CBAM by EU). India's stance at the TPR — advocating for a rules-based, equitable, and development-centric WTO — positions it as a bridge-builder. Future implications: India will likely intensify coalition-building with African, Caribbean, and Pacific nations for MC13 outcomes on agriculture and development. Domestically, the review may catalyze further tariff rationalization (average MFN tariff ~18%), services liberalization, and logistics reforms (National Logistics Policy, 2022). The next TPR in 2028 will assess progress on these fronts, making this a continuing narrative in India's trade diplomacy.