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ROLE OF WTO IN IT INDUSTRY OF INDIA

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ROLE OF WTO IN IT INDUSTRY OF INDIA
CWS/WP/200/3

Process of Trade Liberalisation under the Information
Technology Agreement (ITA):
The Indian Experience

Working Paper

Murali Kallummal*
Associate Professor,
Centre for WTO Studies, IIFT

April, 2012

Centre for WTO Studies (CWS)
Indian Institute of Foreign Trade,
New Delhi
*

The author would like to express his sincere gratitude to Prof. Abhijit Das (Head, Centre for WTO Studies) for the inspiration, comments and support extended. The responsibility for the contents in this paper rests solely with the author.
The mail ID of the author is muralik@iift.ac.in.

0

Table of Contents
1.

Introduction ............................................................................................... 1
Methodology and Section Scheme of the Paper .................................................................................. 3

2.

Information Technology Agreement Negotiations ................................. 4

3.

Tracing the History of India’s Information Technology Sector ........... 7
Indian Software Industry and the Role of Government ....................................................................... 8

4.

Performance of Hardware Sector in India and the ITA-1 .................. 13
Tariff Elimination and Sequencing under the ITA-1 ......................................................................... 15
Technical Standards: TBT notifications under the WTO .................................................................. 17

5.

Trade Liberalisation of Information Technology Products ................ 22

6.

Scenario of Indian Hardware Sector - Dependence on Imports ......... 35
Estimation on the Growing Role of Imported Raw Materials in India ............................................. 35

7.

Conclusion ................................................................................................ 39

List of Tables
Table 1: ITA member countries by economic status, 1996–2011

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