Kolkata: High tariff barrier in India was affecting growth of Indo-US trade resulting in trade deficit in favour of the former, the US Consul-General in Kolkata, George N Sibley, said on August 6.

India has one of the highest tariff barriers of 30 per cent as per the WTO (World Trade Organisation) and this was affecting trade between the two countries, Sibley said while addressing a workshop on "doing business with USA" in Kolkata.

Sibley said that while on the one hand India's exports to the US had increased by two billion USD in 2002, exports from the US to India had increased by only 200 million USD and this was largely due to tariff barriers.

"This trend is not sustainable. There is an asymmetry in market access," he said adding, "If the discrepancy continues to widen, there could be a backlash."

He, however, dismissed fears of an immediate backlash, saying ''we are not on the brink of a backlash'' or it happening in foreseeable future.

Sibley said that his country was working with WTO to reduce tariff barriers world over and to that extent would also address the barriers that existed in India.

The Consul-General further said that exports from India to the US was rising as it was providing quality goods at competitive prices and was also producing goods wanted in the US.

"US has a very good trade environment because of attractive tariff duties, which is not the case for opposite partner. Tariff barriers could be a potential problem," he said.

PTI