US to Announce Trade Enforcement Action Linked to India

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US to Announce Trade Enforcement Action Linked to India

The U.S. trade representative on Monday will announce a trade enforcement action tied to India, his office said, a move that could further rile relations after an incident last year involving the arrest and strip-search of an Indian consul.

U.S. Trade Representative Michael Froman will discuss the action at a news conference at 2 p.m. (1900 GMT), his office said on Sunday night. The Office of the U.S. Trade Representative said it could offer no additional details.

On Friday, the U.S. Chamber of Commerce called on Washington to ratchet up pressure on India over intellectual property rights, a move that could help prevent Indian companies from producing cheap generic versions of medicines still under patent protection.

Also this week, the U.S. International Trade Commission has a hearing scheduled for Wednesday and Thursday to look into Indian trade and investment practices.

In a submission to the USTR, the Chamber of Commerce asked that India be classified as a Priority Foreign Country, a tag given to the worst offenders when it comes to protecting intellectual property and one that could trigger trade sanctions.

Other trade groups, including those representing the pharmaceutical and manufacturing industries, echoed the call for a tougher stance on India.

India is on the U.S. government's Priority Watch List for countries whose practices on protecting intellectual property Washington believes should be monitored closely.

The United States and India have been trying to get their relations back on track after New Delhi blamed Washington for a "mini crisis" over the treatment of its deputy consul general in New York in December.

The diplomat, Devyani Khobragade, was arrested and strip-searched after she was accused of visa fraud and underpaying her maid.

Her treatment provoked protests in India, which curbed privileges offered to U.S. diplomats in retaliation and asked Washington to withdraw a diplomat from New Delhi.

Khobragade left the United States in January after a complex deal in which her diplomatic status was switched to the United Nations, affording her a greater degree of immunity from prosecution. But U.S. authorities have so far refused to drop the charges against her.

US to Announce Trade Enforcement Action Linked to India - The New Indian Express

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Separate thread crated as it is a potential low point which needs to be tracked separately.

 

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USTR has not warned India about threatened trade enforcement action: minister

NEW DELHI (Reuters) - The U.S. trade representative has not warned India about a threatened trade enforcement action linked to the country and due to be announced later on Monday, India's trade minister said.

Anand Sharma told reporters on Monday he had not been informed about the move, which could further rile ties after an incident last year involving the arrest and strip-search of an Indian consul.

U.S. Trade Representative Michael Froman will discuss the action at a news conference at 2 p.m. (1900 GMT), his office said on Sunday night. The Office of the U.S. Trade Representative said it could offer no additional details.

US to Announce Trade Enforcement Action Linked to India - The New Indian Express

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[Free Karma]

"Strategic Partnership"

I think the only other country in that category is Ukraine, the other countries on the "watchlist" are all BRICS, and I've heard that Indonesia,Brazil and SA were too thinking about getting a law like this. Emerging markets like Brazil, South Africa initiate reforms in patent laws in line with India's IP policy - Economic Times

Lets see how this pans out.

 

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After ban on drug facilities, regulator comes calling

Margaret A Hamburg, the first commissioner of the US Food and Drug Administration (US FDA) to visit India officially, will meet heads of major domestic pharma companies such as Ranbaxy, Wockhardt, Cadila Healthcare and Lupin in New Delhi, sources say. While this is Hamburg's first official visit to the country, starting Monday, the event assumes greater significance as it comes in the wake of the increasing international enforcements faced by the domestic drug manufacturing industry. India happens to be the second-largest supplier of low-cost generic medicines to the US.

Apart from holding a closed-door meeting with chief executives of pharmaceutical companies, the US regulator is also scheduled to meet food producers and policymakers in New Delhi. Hamburg, on a nine-day trip (February 10-18) to the country, would meet commerce and industry minister Anand Sharma, health minister Ghulam Nabi Azad, Drug Controller General of India (DCGI) G N Singh and state drug regulators on Monday, a US FDA spokesperson told Business Standard.

Hamburg's trip is also being closely watched by many because it is the first high-level delegation coming from the US to India after the recent spat between the two nations over diplomat Devyani Khobragade.

Drug manufacturers, rice exporters such as Kohinoor and Tilda Rice Land and other food producers such as those exporting mangoes, pomegranates and grapes to the US are scheduled to meet the FDA commissioner on Tuesday, sources say. "The agenda for the meeting with drug manufacturers includes a 20-minute speech by Hamburg, followed by specific discussions with companies on recent developments related to good manufacturing practices, issues in regulatory compliance, etc," according to a source engaged in organising these meetings. During these meetings, Hamburg will be accompanied by US FDA India head Altaf Ahmed Lal and two other senior executives, it is learnt.

However, industry sources say only a few CEOs of pharma companies are likely to attend the meeting as it was fixed at short notice and many of them are travelling. The meeting may be attended by other senior company representatives.

Of late, domestic drug manufacturers have been facing a tough time complying with US FDA requirements. Factories of pharma companies such as Ranbaxy, Wockhardt, RPG Life Sciences and Agila Specialities have come under the regulator's scanner recently for deviations in manufacturing practices.

While this has raised concerns among stakeholders, it has also strained trade relations between the two countries as pharma is a crucial industry for both.

Industry observers say such a long foreign visit by the FDA commissioner and her appointments with Cabinet ministers are "unusual" and reflect the "seriousness" of the ongoing issues and developments. The US is a major trade destination for Indian pharma companies, which clock 40-50 per cent of their consolidated revenues from that market.

Hamburg's discussion with food producers is expected to revolve around contamination issues in rice, spices and other food products exported to the US. Currently, India is the eighth-largest exporter of food products to the US.

Following her Delhi visit, the commissioner will also go to Kochi and Mumbai. In Kochi, Hamburg will meet officials from the World Health Organization (WHO) and also deliver remarks at a World Spice Congress meeting. Her plans in Kochi also include tours of seafood and spice facilities there.

The last leg of Hamburg's trip will take her to India's financial capital, where she will meet women business leaders in the biotech, pharma and science sectors on February 17. Sources say the invitees include Biocon chief Kiran Mazumdar Shaw and Swati Piramal of Piramal Enterprises.

After ban on drug facilities, regulator comes calling | Business Standard

 

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India to flag market access of drugs with US

India and the United States will try to reach Monday a framework to deal with safety concerns and access of Indian drugs, fruits and spices in the American market that have become an irritant in bilateral relations, besides exploring new areas of collaboration.
Indian policy makers will take up with visiting US Food and Drug Administration (FDA) Commissioner Margaret A. Hamburg all the issues ranging from the quality of products and safety standards in Indian pharmaceutical plants raised by the FDA and access of certain foods, fruits and spices to the US market, sources said.
Hamburg will meet health and commerce ministers and top officials on ongoing collaboration on food and drug programmes and strengthening cooperation between regulators of the two countries.
Currently, India is the second largest provider of finished drugs and the eighth largest exporter of food products to the US.
"I look forward to enhancing our existing relationship and identifying additional opportunities for collaboration," Hamburg said in a statement ahead of the visit.
During the Feb 10-18 visit which will take her to Mumbai and Kochi, Hamburg will meet industry representatives to discuss quality control of medical and food products exported to the US.
India-US cooperation has been wide-ranging, from sharing information on the conduct of clinical trials to jointly addressing product safety issues that have an impact on consumers in the two countries.
Hamburg's visit is taking place at a time when India-based drug companies are coming under stringent US regulatory scrutiny on "good manufacturing practices". Last month, the FDA inspected Ranbaxy's active pharmaceutical ingredient (API) manufacturing facility at Toansa, Punjab, and decided to bar the plant from supplying to the US.
Earlier three other Indian factories of Ranbaxy, at Mohali, Paonta Sahib and Dewas, were stopped from supplying to the US.
Also, other Indian companies like Wockhardt, RPG Life Sciences and Agila Specialities have come under the FDA lens.
Drug Controller General of India G.N. Singh says that every country has different measures and "we cannot judge Ranbaxy by standards set up by the American drug regulator".
Health Minister Ghulam Nabi Azad has said India is a victim of cartelisation by developed nations which "lay down such strict parameters to bar manufacturers from developing countries from global competition."
"There is politics and business interests of multi-national companies, which find it difficult to take on competition from Indian companies," he said. India supplies low-cost drugs to over 200 countries.

India to flag market access of drugs with US : Nagaland Post

 

[praneetbajpaie]

and we still have Indian losers, some members of this forum, sucking up to these a**hol**.

 

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'USFDA has imposed disproportionate penalties on Indian pharma cos'

NEW DELHI, FEB 10:
Reacting strongly to the recent string of actions against Indian pharmaceutical companies by the US Food & Drug Administration (FDA), India has said that in some cases the authority has imposed disproportionately strong penalties.

Commerce and Industry Minister Anand Sharma, in a meeting with US FDA Commissioner Margaret Hamburg on Monday, said that the authority was not giving enough opportunity to Indian pharmaceutical companies to explain themselves before taking action against them for flouting quality norms.

The Commerce Ministry proposed that it would come up with a paper voicing its concerns with a view to seeking a resolution to the problem at an early date, a Commerce Ministry official said.

"It was brought to the Commissioner's notice that even in instances when clarifications were sought from pharmaceutical companies, the US FDA decided on strong action even before the clarifications could be given," the official added.

Over the last one-and-a-half years, the USFDA has cracked down on several generic drug-manufacturing facilities owned by Indian companies, citing quality problems. Last month, the FDA banned products from Ranbaxy's active pharmaceutical ingredient-manufacturing factory in Toansa (Punjab) — the fourth factory owned by the company to come under its scanner.

Wockhardt, RPG Life Sciences, and Agila Specialities are the other Indian companies that have come under the USFDA's lens.

'USFDA has imposed disproportionate penalties on Indian pharma cos' | Business Line

 

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Azad and US FDA Commissioner sign 'statement of intent' on cooperation in medical products

The Union minister for health Ghulam Nabi Azad met US Food and Drug Administration (US FDA) commissioner Margaret Hamburg in Delhi today and a Statement of Intent on Cooperation in the Field of Medical Products was signed between the Food and Drugs Administration, USA and the Ministry of Health and Family Welfare, India.

Speaking on the occasion, Azad said that Indian pharma industry is growing at a fast pace in terms of volume. He stated that India exports medicines to about 210 countries and vaccines to about 150 countries in the world. These medicines while being affordable are as effective as drugs manufactured in the developing countries, he mentioned. He further said that being affordable should not mean that they are 'cheap and spurious'.

Efficacy of the Indian drugs should not be judged on the basis of their cost as the input cost in India is much less than that in the developing countries due to the less expensive human resources, the health minister stated, further adding that developing countries such as India who have a growing pharma industry should be allowed to grow.

The minister highlighted that India has taken several measures to strengthen the regulatory mechanisms in terms of capacity building, strengthening laboratories and bringing enhanced transparency through its laws and legislations. He stated that stringent punishment up to life imprisonment is prescribed for those involved in manufacturing or selling of spurious drugs. Special courts have been set up for speedy trails of those involved in such crimes. Moreover, 16 out of 28 states in country have special courts for speedy trials, he said. The Indian government has also framed rules for compensation due to death in clinical trials, he said.

He said that the Statement of Intent between the two countries will go a long way in enhanced cooperation between the two countries in framing and strengthening frameworks for transparency and capacity building through seminars, workshops etc.

US FDA commissioner Margaret Hamburg congratulated India for its success in polio eradication commended India's leadership and powerful presence in the pharma industry. She said that India is the second largest exporter of drugs to USA, and has a significant contribution in medical equipments and devices. But there is huge expectation and dependence of public on the regulator to ensure the quality of what the people consume through drugs and food, and also whether there are barriers being created to new opportunities, Hamburg stated.

While she stated that quality regulation can go a long way in strengthening the robustness of the clinical industries, she also noted that India has made very serious commitment to strengthen regulatory framework to enhance transparency. India and USA need to be effective partners and work on transparency, she further added, as there are common goals and aspirations and both are world leaders in the field of medicines. There should be common set of standards so that people have quality, safe and efficacious drugs, she noted. She said that the Statement of Intent will enhance the transparency in the field of medicine.

The Statement of Intent between the two countries, signed today focuses on sharing of information relevant to lack of compliance with accepted current good manufacturing practices, good clinical practices, or good laboratory practices, as appropriate, by manufactures and sponsors of medical products and manufacturers of cosmetics, in one another's country, or any other information as mutually decided upon.

It also focuses on engaging collaboratively as observers in medical and cosmetic product and inspections conducted by the other country as per specific terms to be agreed and as time and resources allow.

It focuses on informing the respective regulatory authorities before undertaking inspections, so that host-country inspectors may join inspections as observers.

Another area of focus is on collaborating in relevant scientific meetings, symposia, seminars, and other appropriate venues that may be organized either in the United States of America or the Republic of India.

The Statement of Intent also focuses on facilitating each other's holding (in persons or by teleconference) periodic discussions, possibly once every three (3) months, to report and assess progress on current collaborations and implementation of this Statement of Intent, to address concerns and resolve issues leading to strengthening and improving the bilateral relationship, and to identify new areas for collaboration.

It also focuses on facilitating information-sharing between the two countries as appropriate and allowable by law, in support of public health and product safety, quality, and effectiveness, as appropriate.
Present on the occasion were Keshav Desiraju, secretary Health and Family Welfare, C K Mishra, additional secretary, Dr G N Singh, DCGI and Nancy Powell, US Ambassador to India and other higher officials from India and USA.

Azad and US FDA Commissioner sign 'statement of intent' on cooperation in medical products

 

[northernarunachalpradesh]

where are asslickers now?

 

[cw2005]

India will see more of this when export to USA/EU increases. Protectionism is everywhere. USA tolerates only to those countries that are under their protection such as old-day Taiwan and South Korea and to some degree Japan at the very beginning of her development. The reality is simple. The one who invents it could not manufacture it economically.

 

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Inform inspectors in India before domestic audit: Govt to USFDA

The proposal is part of a statement of intent signed between USFDA Commissioner Margaret Hamburg and Health Minister Ghulam Nabi Azad

Taking a tough stand on the ongoing regulatory conflicts between the US Food and Drug Administration (US FDA) and domestic generic drug manufacturers, the Indian government has asked the American regulator to inform and coordinate with inspectors in India before visiting any domestic facility for audit.

The proposal is part of a statement of intent signed between US FDA Commissioner Margaret Hamburg and Health Minister Ghulam Nabi Azad on Monday. The statement, inked on the first day of Hamburg's more than a week-long visit, is being seen as a concrete step to iron out the differences between the two sides in the drug sector.

The two sides will now have to "inform the respective regulatory authorities before undertaking inspections, so that host-country inspectors may join inspections as observers". This would mean the Indian regulatory authorities will have
information on future inspections, observations about deviations etc made by US regulatory authorities during future
inspections of Indian plants. They will also have access to inspections.

The focus will also be on "sharing of information relevant to lack of compliance with accepted current good manufacturing practices, good clinical practices, or good laboratory practices," as appropriate, by manufactures and sponsors of medical products and manufacturers of cosmetics, in one another's country.

Apart from Azad, Hamburg also met commerce and industry minister Anand Sharma and Drug Controller General of India GN Singh today.

It is learnt that Sharma highlighted many key concerns in trade, especially pharma and agri business, between the two nations. In pharma, Sharma raised issues related to delays in approvals, fees charged from companies for applications, disproportionate penalty imposed on some of the companies, harsh enforcements without seeking clarification on deviations or discussions on them. Sharma said the commerce ministry will submit a non-paper to the US authorities highlighting pharma related issues arising from recent inspections.

Hamburg's visit assumes significance as it comes in the wake of increasing international enforcements faced by domestic drug manufacturing industry, which is the second largest supplier of low-cost generic medicines to the US. Hamburg's trip is also of interest because it is the first high level delegation coming from the US after the recent spat between the two nations over Indian diplomat Devyani Khobragade.

Plants of pharma companies such as Ranbaxy, Wockhardt, RPG Life Sceinces and Agila Specialities have come under the scanner of international regulators, especially US FDA, recently for deviations in manufacturing practices. The latest action came from USFDA when it banned supply from Ranbaxy's API (active pharma ingredient) plant in Toansa, Punjab, to the US market. This is the fourth plant of Ranbaxy to come under the US scanner.

The US is a major trade destination for Indian pharma companies, which clock 40-50% of their consolidated revenues from this market.

Inform inspectors in India before domestic audit: Govt to USFDA | Business Standard

 

[SPIEZ]

Before we go off hand it is first necessary to understand one thing

1) DK issue is a seperate issue and yes she was humiliated.
2) Reserving the rights to produce medicine is another separate issue.

This second issue has come up due to pressure from European companies and companies within usofa. One has to first understand that these pharmaceutical companies, which make big profits (which is not wrong) and spend a lot of money on research, are putting pressure on usofa to come hard on India.

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

And one should remember, it's election time in america. The question here should be whether Obama will pull the trigger, especially when there is a medical, let's say, revolution that's happening in usofa. Will Obama a Nobel piece prize winner rid the poor people of a 3rd world country off affordable drugs?

Another (sad) question that comes to my mind is that if Obama pulls the plug, will India have sufficient powers to act against usofa. Because usofa doesn't have anything to lose here.

 

[Free Karma]

Before we go off hand it is first necessary to understand one thing

This second issue has come up due to pressure from European companies and companies within usofa. One has to first understand that these pharmaceutical companies, which make big profits (which is not wrong) and spend a lot of money on research, are putting pressure on usofa to come hard on India.
.

Indian Supreme Court Rejects Trivial 'Evergreening' Of Pharma Patents | Techdirt

Specifically:

The key issue at stake is a practice known as "evergreening": making small changes to a drug, often about to come off patent, in order to gain a new patent that extends its manufacturer's control over it. It's a way of cheating on the implicit bargain of patents: that a government-backed monopoly is granted in exchange for the invention entering the public domain at the end of the patent's lifetime.

So make a change for the sake of making a change, and get your patent revived, and enjoy money for nothing at all. Patents still exist, and you can use it to earn money, but not for looting the crap out of the public. Refer:

Novartis loses legal battle over Glivec, huge boost for local drug cos - Economic Times

The Supreme Court's rejection of Swiss pharma major Novartis AG's plea to win patent protection for its cancer drug Glivec is a big boost for cancer patients, for many of whom the high cost of patented drugs makes treatment unaffordable. For instance, Glivec, which is used to treat chronic myeloid leukaemia and other cancers, costs close to Rs 1,50,000 while the generic equivalent costs little over Rs 9,600; a huge difference in a country where the per capita income is little less than Rs 6,000 per month.

Trying to paint this as stifling innovation is pure BS, patents are still allowed for innovation, patents are not allowed to suck the blood of people.These drugs are even unaffordable for people in the west, they should go up against their govt which is compliant in this merciless looting.

 

[SPIEZ]

@Freekarma:

I agree with what you are saying. I was giving a perspective of this issue in general.

Why suddenly has this been raised?
What action will Obama take?
Is this related to DK? so on and so forth.

 

[feathers]

US trade representative has not warned India: Anand Sharma - The Times of India

Reuters | Feb 10, 2014, 07.11PM IST
NEW DELHI: The US trade representative has not warned India about a threatened trade enforcement action linked to the country and due to be announced later on Monday, India's trade minister said.

Anand Sharma told reporters on Monday he had not been informed about the move, which could further rile ties after an incident last year involving the arrest and strip-search of an Indian consul.

US trade representative Michael Froman will discuss the action at a news conference at 2pm (1900 GMT), his office said on Sunday night. The office of the US trade representative said it could offer no additional details.

Last week, the US chamber of commerce called on Washington to ratchet up pressure on India over intellectual property rights, reflecting US corporate anger at Indian companies that produce cheap generic versions of medicines.

 

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Intellectual property rights: US set to punish India

WASHINGTON: It's not looking good between New Delhi and Washington. Tensions over the Khobragade episode are yet to fully dissipate, but the two sides are locking horns again over intellectual property rights. The Obama administration is scheduled to announce unspecified ''trade enforcement action'' against India on Monday evening (Tuesday am IST) Washington time.

United States trade representative (USTR) Michael Froman and general counsel Timothy Reif will hold a news conference to announce action related to India, the USTR said earlier in the day in a head's up to journalists.

The Indian embassy in Washington DC too scheduled a briefing by its economic and commerce wings soon after the expected US action. All this comes ahead of a re-scheduled visit to New Delhi of US energy secretary Ernesto Munoz, which was postponed from January because of the Khobragade row.

Intellectual property rights: US set to punish India - The Times of India

 

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India patent regime not about access to medicine: U.S body

With U.S Trade Representative Michael Froman set to announce a trade enforcement action tied to India, the highly influential U.S Chamber of Commerce has lashed out at India's recent pattern of pharma patent denials, pointing out that the country's actions "are not about access to medicine."

In the case of Swiss drug-maker Novartis, whose cancer drug's patent protections were dismissed by the Supreme Court, the chamber has argued that the patent revocation led to the drug actually becoming "more expensive for Indian patients."

The chamber's argument is part of a set of recent recommendations, which were submitted to the office of the U.S trade representative (UTSR). The recommendations are being by trade experts as a pointer to what sectors the USTR's expected trade enforcement actions could affect.

In an indirect jab at India's support towards generic drug-makers, the Global Intellectual Property Centre (GIPC) of the chamber of commerce has pointed out that in many cases, multi-national drug-makers would give away the drug for free.

"In the case of Glivec, Novartis provided the leukaemia drug to 95 per cent of patient population for free. The annual cost for Glivec generic treatment is approximately three to for times the average annual income in India," the chamber said.

Thus, the chamber points out, it is actually "more expensive for Indian patents to obtain access to these medicines after the patent revocation than it was before".

In its submission, the chamber has also asked that India be classified as a 'priority foreign country'— a tag that is generally given to the worst intellectual property offenders, and is also a classification that could trigger trade sanctions.

It also warns of a possible domino effect, with other countries following India as an example of bad behaviour.

"India's policies are clearly discriminatory, in contravention to their obligations under TRIPS (The Agreement on Trade Related Aspects of Intellectual Property Rights). In addition, other countries such as South Africa, Brazil, Argentina and even China are closely monitoring this new Indian IP model."

Keywords: Michael Froman, pharma patents, cancer drug's patent, generic drug-makers, USTR

India patent regime not about access to medicine: U.S body - The Hindu

 

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U.S. to act against India over solar subsidies - source

(Reuters) - The United States plans to take India to the World Trade Organisation over subsidies New Delhi gives to its solar power industry, an Indian government source said on Monday, a step that could further strain relations between the countries.

There was no immediate comment from U.S. Trade Representative Michael Froman, who is due to make a trade enforcement announcement linked to India at 2 p.m. (1900 GMT) on Monday. The Indian official said Washington had informed New Delhi of the trade action it planned to take.

The United States filed a challenge with the WTO last February over elements of India's national solar program, which it said discriminates against foreign solar products in violation of a core global trade rule.

It was not immediately clear how Monday's scheduled announcement relates to that action.

India's solar program, launched in 2010, appears to discriminate against U.S. solar equipment by requiring solar energy producers to use Indian-manufactured solar cells and modules and by offering subsidies to those developers for using domestic equipment instead of imports, the U.S. trade office said last February.

Last April, India hit back at the U.S. accusations, suggesting Washington was also guilty of the banned practices. It asked Washington to justify incentives offered to U.S. companies to use local labour and products in renewable energy and water projects, in filings to the WTO.

The trade spat comes on the heels of a recent case involving an Indian diplomat in New York that seriously damaged India-U.S. ties. The diplomat was arrested in connection with visa fraud and strip-searched, sparking fury in India and prompting retaliatory measures against U.S. diplomats there.

India is widely perceived by lawmakers and business groups in Washington as a serial trade offender, with U.S. companies unhappy about imports of everything from shrimp to steel pipes they say threaten U.S. jobs.

Both countries have taken disputes to the World Trade Organization on several occasions.

(Reporting by Peter Cooney in Washington and Manoj Kumar in New Delhi; Additional reporting by Krista Hughes and David Brunnstrom in Washington; Editing by Frank Jack Daniel, John Stonestreet, Ross Colvin and Meredith Mazzilli)

U.S. to act against India over solar subsidies - source | Reuters

 

[happy]

Solar heat singes India-US ties - The Hindu

Though wounds from the Khobragade affair have scarcely begun to heal, the India-US relationship again witnessed a spike in tension this week as the US Trade Representative (USTR), Michael Froman, announced that Washington was initiating consultations with New Delhi over a World Trade Organisation dispute pertaining to India's National Solar Mission (NSM).

Addressing media in Washington Mr. Froman said, "These domestic content requirements [in Phase II of the NSM] discriminate against US exports by requiring solar power developers to use Indian-manufactured equipment instead of US equipment," and that the US had on Monday morning informed Indian officials in New Delhi, Geneva and Washington that it was challenging this requirement.

He added that such "unfair" requirements militated against WTO rules and the Obama administration was "standing up today for the rights of American workers and businesses," and in particular disputing India's proposed rules under both Article II:4 of the General Agreement on Tariffs and trade (GATT) and Article 2 of the Agreement on Trade-Related Investment Measures (TRIM).

The USTR characterised the request for WTO consultations as a "serious" step, underscoring the fact that under WTO rules if the matter was not resolved through such consultations within 60 days of the request, the US may ask the WTO to establish a dispute settlement panel.

Mr. Froman also focused on the question of costs linked to this clean energy source, arguing, "These types of 'localisation' measures not only are an unfair barrier to US exports but also raise the cost of solar energy, hindering deployment of energy around the world, including in India."

According to attorneys for the USTR, close to 10,000 American jobs may be at stake in the solar industry sector if India carries through with the local content and US exports, which stood at nearly $119 million before these criteria kicked in, have "fallen off precipitously since then."

The USTR's action received enthusiastic support within the US solar manufacturing industry with Rhone Resch, President and CEO of the Solar Energy Industries Association (SEIA), describing it as "justified and necessary."

Mr. Resch added, "Over the past three years, the US government has provided India every opportunity to remove restrictive and unfair marketplace requirements. In the absence of any meaningful effort by India to find common ground, it's now time for the WTO to finally resolve these long-festering issues."

The attorneys particularly drew attention to the vast size of India's solar energy market, which under the NSM is estimated to increase 20-fold over the coming decade. India was thus a "very important"¦ [and] the second largest market for US solar exporters, [which was the reason behind] "the substantial concern," at the local content rules.

The latest objections raised by the USTR follow from a previous round of dispute consultations initiated in Washington in February 2013 regarding to Phase I of the NSM.

There appeared to be a clear feeling that matters had taken a turn for the worse for US exporters because although Phase I also imposed local content requirements for modules for solar power developers using crystalline silicone technology, New Delhi excluded thin film technology from the domestic content requirement.

The USTR office said in a statement, that despite the US going beyond the WTO consultations to engage India in the bilateral for such as the India-US Trade Policy Forum, India-U.S. Energy Dialogue, and various WTO committees, "The formal consultations failed to resolve US concerns."

Yet the US signalled its hope that the dispute would not be interpreted as move towards a trade war or a commentary on the broader economic relationship, and Mr. Froman said, "An important part of any maturing trade relationship is effectively addressing the range of issues on our trade and investment agenda, including areas where we may disagree. Today's action addresses a specific issue of concern and in no way detracts from the importance we attach to this relationship."

On the broader course of bilateral ties, the USTR attorneys firmly ruled out any link to the arrest of Devyani Khobragade, India's former Deputy Consul General in New York, on December 12, following which New Delhi hit back with retaliatory measures against US diplomats there and the relationship went into a tailspin.

They said, "These cases take some time to develop, and"¦ we began in WTO terms, to address this issue a year ago [when] we challenged Phase I [of the NSM]."

WTF !! Let America burn !! Why should we buy their product when we have reliable manufacturers in India.

 

[pmaitra]

• A lot of medical research happens in the US universities, funded by grants. These grants are measly sums, and students researchers get paid for 20 hours a week, while toiling for 60 or 70 hours a week, for years. All of this happens all over the US, and the US tries to look the other way, focusing on blackmailing foreign diplomats instead.
• Now, these research works, once completed, are taken over by the pharma cartels. They then make minor incremental improvements or tweakings, with no significant improvement in cure.
• The US government churns out patents at an industrial scale for these inconsequential minor tweakings, like a soap factory producing soap at a massive scale. It's like, "patents are a dime, a dozen." This is possible because US laws are designed to help the wealthy profiteering companies, whose primary aim is not to save lives, but to enrich their coffers.
• These companies, show spurious claims as to the expense related to the development of these medicines.
• Now, these companies lobby their governments to apply their convoluted laws on the rest of the world, so that people are forced to die if they cannot afford these severely overpriced medicines.

This is how the patent works in the US. It is not science. It is not intellect. It is pure money laundering over spurious claims. India needs to tell the US to stop blowing hot air and focus on saving lives, not making profits.