Shri Kamal Nath, Union Minister of Commerce & Industry, has reiterated that India would remain committed to engage constructively to reach a fair and balanced outcome of the Doha Round of WTO negotiations. During the bilateral meeting with the Norwegian Minister of Agriculture and Food, Mr. Lars Peder Brekk, , Shri Nath said that “despite all our efforts, we were unable to conclude the modalities in agriculture in the WTO, but the intensive process of discussion resulted in a richer understanding and a better appreciation of the sensitivities of various members/groups of members.” He further added that on many specific issues that seemed intractable in the past, considerable progress has been made and members must now build on that progress.

Both the Ministers noted that the bilateral cooperation should be strengthened in the areas of marine products, power and oil sector. The bilateral trade between India and Norway during 2007-08 was US $ 1890 (exports - $ 264 million and imports - $ 1626 million). Main exports to Norway were – transport equipments, manufactured of metals, RMG cotton, machinery & instruments etc., while imports from Norway include electric machinery, transport equipments, electronic goods and non-ferrous metals etc.

Government of India has announced a decision to infuse Rs. 38 billion in three public sector banks – UCO Bank, Central Bank of India and Vijaya Bank to improve the capital adequacy ratio and to help them to support the credit requirements of the economy.

This move was prompted by the prevailing conditions where accessing the capital market was not a viable option for the banks for meeting their capital requirements. Under the proposed plan, Central Bank would get Rs. 14 billion, and Vijaya Bank and UCO Bank would be provided Rs. 12 billion each. Government also announced that this amount would be paid in two tranches with the first tranche being made available by March 2009 itself.

Government announced, on 26 February, a special package to help the export sector which has been adversely affected by the global economic slow down. The main features of the package are as follows:

• Special package of Rs. 3.25 billion for leather and textile export sector
• Duty credit scrips to be issued ahead of realization of export proceeds
• Import of restricted items permitted under duty credit scrips after payment of duty
• Threshold slab for premier trading houses reduced from Rs. 100 billion to Rs. 75 billion
• Export obligation under Export Promotion Capital Goods (EPCG) scheme reduced and export obligation period extended
• Bilwara and Surat to be recognized as towns under export excellence for textile and diamonds respectively