EU seeks special courts for investors – Times of India

JAIPUR: EU has proposed establishment of special courts to deal with cases involving violation of investment protection agreement, as it will provide comfort to investors and boost investment in India, EU trade commissioner Valdis Dombrovskis said.
India is yet to respond to the proposal, which is being discussed as part of the negotiations for a bilateral trade and investment treaty.
“India has ambition to become a manufacturing hub and integrate itself with global value chains, which requires a lot of investment. For this investment to come, there should be proper investment protection and a proper mechanism to solve disputes as they arise,” Dombrovskis said. “We have this arrangement in some of the more recent agree ments. It’s a change of EU approach, instead of relying on arbitrations, where sometimes it was not transparent. We want a more streamlined, more transparent system, which is protecting investments and also protecting a country’s right to regulate.”
The proposed trade and investment treaty is expected to come for discussions during his bilateral meeting with commerce and industry minister Piyush Goyal over the weekend, where he will also flag some “trade irritants”, including standards being put in place by the Bureau of Indian Standards and the recent quality control orders.
Dombrovskis said EU is looking at rise in import of petroleum products from India, some of which may be refined Russian crude. “As part of the EU sanctions against Russia, we have put an oil embargo with a certain transition period, which limits the imports of Russian oil into the EU… oil is the main source of revenue for Russia’s budget. If you want to reduce Russia’s ability to wage war and to finance the war, oil is important. If we restrict oil imports, but then end up buying refined products from Russian oil from other countries, that defeats the purpose,” he said. On EU carbon border adjustment mechanism, he indicated there is unlikely to be a re-look.