India Critiques US Investigation on Forced Labour Policies
SEBI, MCA norms on forced labour 'soft and voluntary': India to USTR
The Economic TimesImage: The Economic Times
India has informed the United States that its measures against forced labour are primarily voluntary and soft in nature, as outlined in the recent hearings by the United States Trade Representative (USTR). India contests the USTR's investigation, arguing that existing frameworks adequately address the issue without necessitating unilateral actions.
- 01India describes its approach to forced labour as 'soft' and 'slow'.
- 02The Business Responsibility and Sustainability Reporting framework is categorized as 'soft law'.
- 03India contests the USTR's investigation on three main grounds.
- 04The National Guidelines on Responsible Business Conduct provide a voluntary framework.
- 05India supports export councils to identify forced labour incidents in supply chains.
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During hearings by the United States Trade Representative (USTR) regarding forced labour, India characterized its regulatory approach as 'soft' and 'slow', emphasizing that the Securities and Exchange Board of India's Business Responsibility and Sustainability Reporting (BRSR) framework is a form of 'soft law'. India highlighted that the National Guidelines on Responsible Business Conduct (NGRBC) also establish a voluntary framework for businesses. In response to the USTR's investigation initiated on March 12, India argued that it contests the legal basis of the inquiry, asserting that the lack of restrictions on imports made from forced labour does not provide an advantage to Indian exporters. Furthermore, India pointed out its active participation in multilateral frameworks addressing forced labour and emphasized government support for export promotion councils aimed at identifying forced labour incidents in supply chains. The Indian representative concluded that unilateral actions by the USTR are unnecessary given the existing comprehensive frameworks.
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India's response to the USTR could influence its trade relations with the United States and impact how businesses operate regarding forced labour in their supply chains.
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