A Pact Between India and Singapore

Already, India has a free trade pact with Thailand.increase in the level of wages. The next Ministerial
There is further scope for economic diplomacy forlevel conference of the WTO is scheduled to take
India in this region which can result in a larger shareplace in Hong Kong where such agreements are
of the growing service pie. Viewed in this perspectivebound to put pressure to ease immigration norms of
the Singapore agreement is just a beginning, though adeveloped nations.
significant one in the right direction.In the mean while Singapore has the potential to
Such bilateral pacts have assumed greaterbecome the second 'Gulf' for thousands of Indians
importance precisely because the WTO has not beenwho excel as professionals and service providers. The
able to make any breakthrough in movement ofIndian industry on it's part must prepare to fact
labour. The rich nations are opposed to GATSfurther shortages of skilled manpower at least in
(General Agreement on Trade in Services) in respectcertain fields. As a result, the wage bill of the India
of allowing freer immigration of workers from thirdInc. may see a rise. To stay competitive, Indian firms
world countries. There is some opposition to GATS inwill have to innovate, reduce other costs and learn
India as well on the ground that it may lead tobetter management skills.