India on Thursday urged the South Asian countries to remove tariff and non-tariff barriers to help boost trade and investments and ensure economic integration of the region.Addressing the first meeting of South Asia Forum organised in New Delhi on Thursday, Deputy Chairman of Planning Commission Montek Singh Ahluwalia said that cost of trading across borders in South Asia is one of the highest in the world due to various barriers which hinder flow of trade and investment.Quoting a World Bank report, Ahluwalia said intra-regional trade in South Asia is less than 2 percent of GDP, as compared to over 20 percent in East Asia .Mr Ahluwalia stressed the need for integrating transportation links, financial and other services for the growth of the SAARC nations. He said that free movement of people across the borders and removal of trade barriers is necessary for the economic growth of the region.He said security concerns have emerged as a major challenge in enhancing people to people contact and the growth of tourism has suffered due to this problem.In his remarks the Commerce Minister Mr Anand Sharma said that India will bring down the list of small sensitive list of imports from SAARC nations by 20 percent by next month.Mr Sharma emphasised the need to enhance business links among the South Asian countries. AIR correspondent reports that hectic discussions are on in the two day conference between the Ministers and representatives besides captains of Industry from the SAARC nations for charting a road map for greater economic cooperation in the region.
News On AIR | September 8, 2011 8:11 PM
Trade bars must go to ensure South Asia economic integration: Montek