BRICS makes the fruits and benefits of globalization accessible to larger number of people: Vice President

Vice President M. Hamid Ansari

New Delhi

Vice President M. Hamid Ansari has said that the BRICS grouping does more than just facilitate international trade. It makes the fruits and benefits of globalization accessible to a larger number of people, beyond limited elite and the developed economies, he added. He was addressing the gathering after inaugurating the First Brazil, Russia, India, China and South Africa (BRICS) Trade Fair . The Minister of State for Commerce and Industry, Smt. Nirmala Sitharaman, the Minister of Industry, Foreign Trade and Services, Brazil, Mr. Marcos Pereira, the Minister of Trade and Industry, Russia, Mr. Denis Monturov, the Minister of Trade and Industry, South Africa, Dr. Rob Davies, the Vice Minister for Ministry of Finance and Commerce, China, Mr. Wang Shouwen and other dignitaries were present on the occasion.

The Vice President said that the credit for transforming the vision of our Prime Minister, Narendra Modi, who had proposed a trade fair to be held in the nation hosting the BRICS Summit into reality, goes to our Commerce and Industry Minister and her team. 

He further said that the BRICS group represents a shift in the global political economy, global institutions and global governance issues, as emerging economies enhance their cooperation to find solutions for the economic challenges affecting them. He pointed out that Brazil, Russia, China, South Africa and India - together account for 43% of the world’s population and represent the dynamism, the growth, the future of world trade. As growing economies, they have to translate the growth into inclusive economic development, he added. 

The Vice President said that BRICS has already identified the basic principles for enhancing the trade and investment relations, as reflected in the theme of India’s BRICS chairmanship- ‘Building Responsive, Inclusive and Collective Solutions’. He further said that to achieve this objective BRICS would need to; (a) create a business-friendly environment for investors and entrepreneurs, (b) foster the liberalisation of trade in Services, especially in promoting movement of people, (c) support value addition, (d) promote information exchange and (e) increase the trade in each other’s currency.

The Vice President said that this Trade Fair is an excellent opportunity for encouraging intra-BRICS synergies adding that the identification of specific cooperation areas - innovation, technology, energy, infrastructure and agri-business - spanning trade in goods and services, as well as the participation of investment promotion agencies, will reap rich dividends.

To achieve this objective, we, within the BRICS, would need to;

• First, create a business-friendly environment for investors and entrepreneurs in all member countries with a view to promote mutual trade and investment; and facilitate market inter-linkages and enhance market access opportunities.
• Second, BRICS would need to foster the liberalisation of trade in Services, especially in promoting movement of people for commercial activity, both with BRICS and globally. The proposal for a BRICS visa on a long-term basis for genuine travelers, is one such effort aimed at stimulating greater economic activity by enhanced mobility of our entrepreneurs.
• Third, we need to enhance and diversify trade and investment cooperation that support value addition. Value-added trade has a role in transforming our economies from providers of raw material into key players in the global economy. 
• Fourth, we also need to build resilience to external economic shocks and strengthen macro-economic policy coordination by promoting information exchange through agreed platforms and by deepening our interaction and cooperation with non-BRICS countries, international organizations and forums.
• Fifth, we need to increase our trade in each other’s currency to further pluralize trading currencies and lessen the use of a single dominant currency. Transition to trade in national currencies will reduce the risk volatility and protect us from adverse fluctuations, which often cause huge economic and trade losses.

The BRICS grouping does more than just facilitate international trade. I think it brings forth a more humane face of globalization. It makes the fruits and benefits of globalization accessible to a larger number of people, beyond a limited elite and the already developed economies.

This Trade Fair is an excellent opportunity for encouraging intra-BRICS synergies by linking both the BRICS Business Forum and the BRICS Business Council. The identification of specific cooperation areas-- innovation, technology, energy, infrastructure and agri-business-- spanning trade in goods and services, as well as the participation of investment promotion agencies, will reap rich dividends.

We appreciate the efforts made by all the BRICS Trade Ministers in persuading the strong participation of companies from their respective countries. We also welcome the participation of companies from the BIMSTEC region. We acknowledge the role of FICCI in organizing this Trade Fair, with the active support of other apex chambers including CII, ASSOCHAM, other export promotion councils, development authorities and industry associations.