Home / Knowledge / News / Textiles / India, US to negotiate Bilateral Investment Treaty
India, US to negotiate Bilateral Investment Treaty
Jul '13
The Government of India has communicated its willingness to negotiate a Bilateral Investment Treaty (BIT) with the Obama Administration.
The Indian Government has signaled its acceptance and positive response towards a BIT, India’s Commerce and Industry Minister Anand Sharma said at a press conference after meeting US Trade Representative Mr. Michael Froman in Washington.
The move of the Indian Government comes a few days after the US and China agreed to restart discussions on a bilateral investment treaty.
In a BIT, governments commit to protect investments made in their territory by nationals of the other country.
A BIT between India and the US would provide protection to US investors from arbitrary, discriminatory or confiscatory Indian Government measures, enforceable by recourse to independent international arbitration, according to the US-India Business Council (USIBC).
Such a treaty could help bring additional investment in India, and also provide protection to Indian companies as they expand investments in the US.
The treaty for investment protection could also serve as a building block for a more comprehensive free trade relationship. The process could build confidence among various U.S. interests, including the Congress, of a more liberalized environment in India and a greater readiness by India to proceed with trade liberalization, within a framework of legally binding international commitments.
So far, the US has negotiated BITs with 47 countries, 40 of which are currently in force. In addition, the US also has nine free trade agreements (FTAs) in force with a total of 14 partner countries. Most of these FTAs contain investment protection provisions similar to those provided for in a BIT.
On the other hand India has signed Bilateral Investment Protection Agreements (BIPAs), which are similar to BITs, with 82 countries, of which 72 are already in force. 
The date for the first round of talks on the treaty between the US and India is yet to be fixed.
At present, India-US annual bilateral trade is around US$ 106 billion. The USIBC has set a target of boosting the two-way trade in goods and services to US$ 500 billion annually by 2020.

Fibre2fashion News Desk - India

Must ReadView All

Courtesy: Ikea

Textiles | On 26th Apr 2017

Ikea’s product sourcing from India to double by 2020

Ikea, the global home furnishing giant from Sweden, plans to double...

Textiles | On 26th Apr 2017

CITA to add insufficiently available fabric in CAFTA-DR

The Committee for the Implementation of Textile Agreements (CITA) has ...

Courtesy: SKF

Textiles | On 26th Apr 2017

SKF brings predictive maintenance for machinery to India

SKF India, a global supplier of bearings, seals, mechatronics,...

Interviews View All

Giovanni Pizzamiglio, Paolo Crespi & Riccardo Robustelli
Epson, For.Tex & F.lli Robustelli

‘The percentage share of printing in the global textile market is pretty...

Angelina Francesca Cheang

'Consumers in the age-group 21 to 38 are driving the activewear trend'

Nitin Soni
Dolphin Jingwei Machines

Taxation policies need to be made simpler

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Marcel Alberts

Coating at a fibre level is a practice not usually seen in the...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
April 2017

April 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search