ACCESS TO TRADE INFORMATION

Guide
The National Centre for Trade Information (NCTI) provides the latest trade, business and economic information, says Osama Manzar
SEEK any information and it’s all there for you. Right from available technology options, dos and don’ts, collaboration Information, to the whole com petition scenario of the world market: the National Centre for Trade Information (NCTI) has it all.
For the last 20 years the Minis try of Commerce and Industry has been wanting to set up a centre for trade information. Ironically, it took four committees to establish the National Centre for Trade Information (NCTI), the reason for the delay being the “usual problem of jurisdiction”. The centre was formally started in November last.
It was Commerce Minister Pranab Mukherjee who took the initiative and got Cabinet approval for the new committee— which includes FIEO, FICCI, STC, MMTC, ASSOCHAM ITPO and CII— formed in 1993. NCTI was formed as a joint venture between the India Trade Promotion Organisation (ITPO) and Nation al Informatics Centre (NIC), sharing Rs 2 crore each for establishment costs. Though the Board is yet to be formed, the Director- General of NIC is supposed to officiate as Chairman too, while the Executive Director of the body will be an ITPO nominee. Says NIC DG Dr N Seshagiri, “Only small formalities remain and the Board will be formed in another 15 days’ time.”
After a detailed study of the project, the committee finally decided that NCTI would work as a company in the Ministry of Commerce, under Section 25 of the Companies Act, 1956, with a responsibility to “provide the latest trade, business and ecoriomic information to help Indian as well as foreign enterprises in the promotion of trade from and to India.” According to Seshagiri, NCTI uses high speed NICNET, which is connected to more than 200 networks in almost 169 countries.
But, why NCTI? Séshagiri, who is also Special Secretary to the Government of India, Planning Commission says, “It is basically a promotional organisation, in order to promote information culture in trade, as well as to give information. Yes, it will be a profit-making organisation, but will never distribute dividends.’
He does not deny the fact that to promote trade and generate foreign exchange, it was necessary for local entrepreneurs to make available the business opportunities being generated in India and abroad, amidst the pre sent scenario of liberalisation and globalisation of the Indian economy.
Moreover, trade information is an important element of the trade promotion infrastructure and has played a vital role in improving the export performan ce and growth of trade of many countries in the world. Seshagiri aptly adds, “Information is money.
Equipped with 10 monitors and manned by 15 professionals, NCTI is also connected to trade points of UNCTAD, and is stationed in the premises of ITPO. The total trade document library is contributed by the ITPO. Explains Seshagiri, “It is not only the raw information that we will provide, but the prime emphasis is on value added analysed information, which may guide the exporters, traders and importers in making decisions.”
NCTI is establishing links with export promotion organisations, regulatory bodies and trade and industry associations. Says the Director-General, “The NCTI database can be accessed from any part of the country or a number of locations abroad using NICNET connectivity.’ In addition, the centre has an arrangement with various trade promotion bodies overseas and other foreign databases for flow of trade information, such as Singa pore Trade Development Board, Hong Kong Trade Development Council, WTC Bombay database for export/import, Network New York and many more.
According to an NIC official, everyday atleast 300 opportunity information comes to NIC through EDI (Electronic Data Interchange). “You can imagine the volume of information NCTI will be equipped with.” ED! is the inter-organisational exchange of business documents in structured, machine processable form, which can be used to electronically transmit documents, such as purchase orders, invoices, shipping notices, receiving advice, and other standard business correspondence between trading partners.
EDI is often viewed as simply a way of replacing paper methods of transmission such as mail, phone, or in-person delivery with electronic transmission. “However, EDI should not be seen as an “end” but as a “means” to streamline procedures and improve “efficiency and productivity” says an NIC official. Moreover, document processing cost per transaction is the cheapest in EDI.
Surprisingly, EDI facility has become so common and necessary in western and in South Asian countries that they have started giving an ultimatum of “not trading with countries without ED! facility. Singapore has fixed the deadline at 1997 for countries which wish to have trade relations to acquire EDI facility. France, Germany, Sweden and Hong Kong are the other countries who have also given ultimation.
Seshagiri says our traders are not at all aware of these developments, and exporters are blissful ly ignorant of this fact. Warns Seshagin, “I will not wonder, if trade activity in the country stops one fine morning.” That is the reason why NCTI will launch awareness compaigns. Buck up NCTI, get alert traders.