Couchepin tackles double taxation problem in India

The Swiss economics minister, Pascal Couchepin, has signed two accords with India during a four-day visit to the subcontinent.

The Swiss economics minister, Pascal Couchepin, has signed two accords with India during a four-day visit to the subcontinent.

Couchepin and the Indian finance minister, Yashwant Sinha, (pictured) exchanged instruments ratifying an agreement on the protection of investments and the signing of a protocol modifying the double taxation agreement between the two countries.

They underlined the importance of the agreements after an official ceremony in the capital, New Delhi. “They open up a new era of co-operation between the two countries,” said Sinha.

The accord on investment-protection puts in place ways to resolve conflicts between an investor and the country in which the investment is made. It also settles disputes between the two countries concerned.

During their talks, the two ministers also exchanged views on negotiations within the Geneva-based World Trade Organisation. Officials said both sides felt that their positions were not far apart.

Couchepin, who is accompanied by a delegation of Swiss businessmen, praised the liberalisation taking place in India, but said the reform process was slow and should be accelerated to promote foreign investment.

After the signing ceremony, Couchepin, paid a courtesy call on the Indian president, K.R. Narayanan.

During earlier talks on Wednesday, the Swiss captains of industry discussed the problems they faced doing business in India with Omar Abdullah, economics secretary of state. The Swiss businessmen mentioned hurdles such as large customs duties and discrimination against foreign companies.

Before ending his trip on Friday, Couchepin is calling on Swiss companies in the country’s financial and economic capital, Bombay, and will visit technological parks in Hyderabad.

From staff and wire reports