In order to rebuild confidence in international trade and investments, G20 countries must build resilient and inclusive global value chains that can withstand future shocks, says Prime Minister Narendra Modi.
"In this context, India's proposal to create a generic framework for mapping global value chains is important," the prime minister says, adding that this framework aims to assess vulnerabilities, minimise risks, and enhance resilience.
PM Modi emphasised his commitment to make India the third-largest global economy in the next few years. "Today, we see global optimism and confidence in the Indian economy. India is seen as a combination of openness, opportunities and options. During the last nine years, India has become the fifth largest global economy. This is the result of our sustained efforts," he says.
The prime minister says India has moved away from red tape to red carpet and liberalised FDI flows. "We embarked on the journey of 'Reform, Perform, and Transform' in 2014. We have increased competitiveness, and enhanced transparency. We have expanded digitisation, and promoted innovation," he says.
India has established dedicated freight corridors and built industrial zones, PM Modi says. "Initiatives like Make in India and Aatma Nirbhar Bharat have given a boost to manufacturing. Above all, we have brought policy stability."
Trade and globalisation have also lifted hundreds of millions out of extreme poverty, Modi says, adding that current global challenges, from the pandemic to geo-political tensions, have tested the world economy.
Throughout history, trade has led to exchange of ideas, cultures and technology.
"Technology's transformative power in trade is undeniable. India's shift to an online single indirect tax - the GST - helped create a single internal market boosting inter-state trade. Our Unified Logistics Interface Platform makes trade logistics cheaper and more transparent. Another game changer is Open Network for Digital Commerce (ONDC), which will democratise our digital marketplace eco-system. We have already done that with our Unified Payments Interface (UPI) for payment systems," PM Modi says.
Digitising processes and use of e-commerce have the potential to enhance market access, he adds.
'High Level Principles for the Digitalisation of Trade Documents' can help countries in implementing cross-border electronic trade measures, and reduce compliance burdens. "As cross-border e-commerce continues to grow, there are challenges as well. We need to work collectively to ensure equitable competition between large and small sellers. We also need to address the problems faced by consumers in fair price discovery and grievance handling mechanisms," says PM Modi.
The prime minister says that India has advocated the concerns of the Global South at the 12th WTO Ministerial Conference. "We were able to forge consensus on safeguarding the interests of millions of farmers and small businesses," he says.
"We must pay more attention to MSMEs, given their key role in the global economy. MSMEs account for 60 to 70% of employment and contribute 50% to the global GDP. They need our continued support. Their empowerment translates to societal empowerment," PM Modi says, adding that India has integrated MSMEs into public procurement through the Government e-Marketplace platform.
