ICC Chairman Marcus Wallenberg met with Indian Minister for Commerce and Industry Kamal Nath today in New Delhi to stress the importance of re-starting the Doha trade round which has been suspended since July and bringing the talks to a successful conclusion.

Mr Wallenberg emphasized that the rules-based, multilateral trading system provides by far the best conditions for both business and the global economy to thrive.

The Indian government remains committed to the Doha trade talks, Mr Nath said, but maintains that bilateral agreements are a viable second-best alternative in the event of problems with the multilateral trading system and serve to strengthen the multilateral system in the long-term.

“Free trade agreements are ‘building blocks’ for the multilateral trading system”, Mr Nath said, reflecting the Indian government’s view that some terms of bilateral agreements could eventually pave the way for global trade agreement.

Mr Nath added that preferential trade agreements also offer more flexibility and are easier to negotiate than multilateral trade agreements.

Reaching agreement on cotton subsidies in the Doha round is critical to India, Mr Nath explained, where farmers represent 60% of the population and 20% of GNP. Mr Nath will travel to Geneva tonight in an effort to help revive the trade talks at the World Trade Organization.

Mr Wallenberg underlined ICC’s view that political leaders must take a more active role in the Doha round to ensure its success.

“The fate of the Doha round lies in the hands of politicians, but it is business that will suffer if it fails,” said Mr Wallenberg.

Mr Wallenberg was accompanied by President of ICC India and Chairman of YKM Holdings Group Y.K. Modi, ICC Secretary General Guy Sebban and Senior Vice-President of SEB, Erik Belfrage.