United States has challenged Indian export subsidies schemes at the World Trade Organisation (WTO) saying these programmes harm American workers by creating an uneven playing field.
The US Trade Representative (USTR) Robert Lighthizer has alleged that at least half a dozen Indian programmes provide financial benefits to Indian exporters, which allow them to sell their goods more cheaply to the detriment of American workers and manufacturers.
In a statement, the USTR alleged that through these programmes, India is given exemption from certain duties, taxes, and fees which benefits numerous Indian exporters. These export subsidies provide an unfair competitive advantage to recipients, it alleged.
The US has said it has requested dispute settlement consultations with India at the WTO, challenging Indian export subsidy programs.
The announcement from Lighthizer has come while Indian Foreign Secretary Vijay Gokhale is on his maiden visit to the US.
