Australia raises concern on India's sugar export sops

NEW DELHI: After raising the sugar export subsidy issue in WTO, Australia has taken it up with India saying the sops distort a competitive global market for the sweetener.

The issue was raised by the Australian Trade Minister, Mr Simon Crean with Agriculture Minister Mr Sharad Pawar at their meeting here today.

India, on its part, has informed Australia that the subsidy given to sugar exporters was in compliance with the guidelines of the World Trade Organisation.

"There is the issue about concessions given to the sugar exporters. I have explained (to the Australian Minister) about the background ... And how it fits into the WTO guidelines," Mr Pawar said after his meeting with Mr Crean.

The Indian Government has been giving subsidy to sugar exporters at the rate of Rs 1,350 per tonne for coastal states and Rs 1,450 per tonne for non-coastal states in the backdrop of a glut in the industry.

Besides, Mr Pawar also said India was eager to export mangoes to Australia from April 2008.

"There is some problem from their side. They have assured us that they will look into the matter," he said.

India has started exporting mangoes to the US last year after the ban was lifted. The Government is trying to push export of the fruit in several other countries. - PTI