RSS member wants India to reject extension of WTO moratorium on global e-transaction tax

RSS affiliate Swadeshi Jagran Manch (SJM) has urged the central government to protect the interests of developing countries by opposing any move to continue the existing moratorium on imposition of tariffs on e-commerce by World Trade Organization (WTO) member countries . The 13thTh The WTO ministerial conference is scheduled to take place in Abu Dhabi between February 26 and 29, 2024.

“Since 1998, WTO members have regularly agreed not to impose tariffs on electronic transmissions of digitizable goods. The decision was taken at a time when electronic commerce was still in its infancy and its full potential to expand trade was yet to be assessed.” “The introduction of tariffs on electronic transmission will be the first prerequisite for the success of the fourth industrial revolution “To block the monopoly of developed countries and digital monopolization by tech giants,” said Ashwani Mahajan, National Co-Convenor, SJM.

According to him, the current moratorium on customs duties on electronic transfers is extremely against the interests of developing countries in general and India in particular. “This not only impacts job creation in the electronics sector but also revenue generation. We therefore strongly recommend that this moratorium be ended, as proposed by South Africa. If the moratorium is not extended by WTO members, it will expire automatically. We urge you the Indian government to use its diplomatic channels to allow the moratorium to expire in this ministerial conference,” Mahajan said.

The organization also wanted India to resist any attempt to deny support to the country's small-scale fishermen through an agreement to eliminate or reduce fisheries subsidies at the WTO ministerial meeting. “The mandate to discipline fisheries subsidies was issued at the Doha Ministerial Conference in 2001, which required members to ban certain forms of fisheries subsidies that contribute to overfishing and overcapacity (OFOC) and to eliminate subsidies that lead to illegal, unreported and contribute to unregulated fishing (IUU). At MC12 in Geneva in 2022, WTO members adopted the Agreement on Fisheries Subsidies. However, it was only due to come into force after two-thirds of WTO members had taken the formal steps to adopt it. Only a few members have deposited their instruments of acceptance with the WTO. “The number in the Secretariat has not yet been reached, but the desired number has not yet been reached,” Mahajan explained.

SJM wanted the government to reject developed countries' proposal to provide an exemption for low-income, resource-poor or subsistence fishing or fishing-related activities in developing countries within 12 nautical miles with a limit on fishing in the EEZ to only 5 years.

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