Modi, Trump to firm up Indo-US economic ties

"On the economic side, the two sides had very productive discussions. The economic changes in both countries are creating new demands and once you have the high-level comfort between India and the US, the other partner is well placed to meet those demands," Foreign Secretary S Jaishankar told reporters after Modi held his maiden meeting with Trump here at the White House.

Jaishankar cited the civil aviation market and natural gas as areas of cooperation and added that from the next year the Liquefied natural gas (LNG) from the US will start flowing to India. The Indo-US LNG trade is expected to be in excess of $40 billion.

Jaishankar said there was a sense that both countries should encourage each other in the effort to be the natural and preferred partner on such issues.

"There was a discussion on trade matters, market access, regulatory issues and barriers. Both leaders underlined the importance of free and fair trade," said Jaishankar.

Responding to a question on H-1B visa-related issues, Jaishankar said there was a discussion on cooperation in innovation and digital partnership.

"On the H-1B issue, there was a lot of discussion with business leaders and the two leaders about the digital partnership," he said.

"There is recognition that the Indian-American community has played an extraordinary role in building this relationship. When you value something, it is obvious that you will take care of what you value," Jaishankar said.

According to a India-US joint statement, Modi and Trump committed that the two countries – leading engines of growth in the global economy – should intensify their economic cooperation to make their nations stronger and their citizens more prosperous.

Noting that extensive economic and tax reforms launched in their respective countries will unlock immense economic opportunities for both countries, they committed to further expanding and balancing the trade relationship and to removing obstacles to growth and jobs creation.

The two leaders also resolved to pursue increased commercial engagement in a manner that advances the principles of free and fair trade, the statement said.

"To this end, the United States and India plan to undertake a comprehensive review of trade relations with the goal of expediting regulatory processes; ensuring that technology and innovation are appropriately fostered, valued, and protected; and increasing market access in areas such as agriculture, information technology, and manufactured goods and services," the statement said.

Trump and Modi further committed to strengthening cooperation to address excess capacity in industrial sectors.

According to a White House fact sheet, two-way trade in goods and services reached $114 billion in 2016. With the Indian economy growing at seven per cent annually, both countries are committed to further expanding and balancing the trade relationship.

Low-risk Indian travellers to the US from now on would experience speedy entry into the country after landing, with India making a formal entry into an American initiative. President Donald Trump welcomed India's entry into the International Expedited Traveler Initiative (Global Entry Program), saying it would facilitate closer business and educational ties between the citizens of India and the US.

The India-US joint statement, issued after talks between Trump and Modi, said the US president applauded the entrepreneurship and innovation of Indians and Indian- Americans that have directly benefited both nations. The citizens of Switzerland and the United Kingdom are also part of the programme, which India has now joined. Global Entry is a US Customs and Border Protection (CBP) programme which allows expedited clearance for pre-approved, low-risk travellers upon arrival in the United States.

On landing at select airports, the programme members enter the United States through automatic kiosks, instead of queueing up to clear the immigration by meeting an immigration officer. At these airports, the members proceed to the Global Entry kiosks, present their machine-readable passport or US permanent resident card, place their fingerprints on the scanner for fingerprint verification and complete a customs declaration.

The kiosk then issues the traveller a transaction receipt and directs him or her to the baggage claim and the exit.

Travellers must be pre-approved for the Global Entry programme. All applicants undergo a rigorous background check and in-person interview before enrolment, the CBP website says. It says that while Global Entry's goal is to speed up travellers through the process, members may still be selected for further examination when entering the United States.

The select US airports that offer the facility include all major ones, including New York, Newark, Washington, Austin, Dallas, Houston, Boston, Chicago, San Francisco, Los Angeles, San Jose, Las Vegas, Miami and Seattle.

Besides those in the US, the airports at Dublin in Ireland, Vancouver and Toronto in Canada and Abu Dhabi are also on the list. These airports have been chosen as an air traveller can clear US immigration at these airports, virtually making their onward flight from there to an American city a domestic one.

US President Donald Trump on Tuesday praised the Modi government's Goods and Services Tax (GST) initiative, saying the largest tax overhaul in India's history will create "great new opportunities" for the Indian people.

"In just two weeks, you will begin to implement the largest tax overhaul in your country's history – we're doing that also, by the way – creating great new opportunities for your citizens," Trump said in his joint press statement at the White House here after holding talks with Prime Minister Narendra Modi.

"You have a big vision for improving infrastructure, and you are fighting government corruption, which is always a grave threat to democracy," he said. Trump heaped praise on Modi for introducing reforms and making accomplishments in the economic sphere.

"I am thrilled to salute you, Prime Minister Modi, and the Indian people for all that you are accomplishing together.

Your accomplishments have been vast," Trump said. "India has the fastest growing economy in the world. We hope we're going to be catching you very soon in terms of percentage increase, I have to tell you that. We're working on it," he said.