President Pranab Mukherjee has said that legal reforms are necessary to strengthen the arbitration system in the country. <br/><br/>Inaugurating Global Conference on Arbitration and Enforcement in New Delhi today, Mr Mukherjee said, India clearly has the basic legal and physical infrastructure to support international arbitrations.<br/><br/>The President said, arbitral institutions, judiciary and the government are particularly critical for strengthening arbitration. He said, India has some inherent advantages which enables it to engage with the international commercial world of arbitration. <br/><br/>Mr Mukherjee said, English language is frequently used in courts and in arbitration matters.He said, India also have a diverse and rich pool of human resource which can help support and sustain the arbitration system.<br/> <br/>The President said, unfortunately institutional arbitration is still not widespread in India and ad hoc arbitration is the norm. He said, there is a huge untapped potential for growth of institutional arbitration in the country.<br/><br/>Mr Mukherjee said, a vibrant arbitration system will need a vibrant arbitration bar as well as a respected pool of seasoned arbitrators. He said, Indian courts need to devise an administrative mechanism to ensure that arbitration matters are handled separately to avoid any delay arising out of judicial intervention. <br/><br/>The President said, state intervention in a market economy should be limited to situations of market failure.