Reform deal in sight at WTO amid US-India e-commerce deadlock, Pg11

Key Highlights:

• WTO trade ministers are nearing a reform agreement.
• Discussions are ongoing regarding the extension of the moratorium on customs duties for electronic transmissions.
• India has indicated it may accept a two-year extension of the moratorium.
• The US might consider a ten-year extension.

Detailed Insights:

• The core issue involves bridging the gap between the US and India regarding the extension of the e-commerce moratorium, which is set to expire this month.
• A new draft document proposes support for developing countries concerned about losing tax revenues, along with a review clause.
• The US Trade Representative (USTR) previously advocated for a permanent extension of the moratorium.
• The moratorium's potential lapse could significantly impact digital trade, especially for developing nations reliant on digital services.

Key Concepts Involved:

• Moratorium: A temporary prohibition of an activity.
• Customs Duties: Taxes imposed on goods when transported across international borders.
• E-commerce: Buying and selling of goods or services using the internet.