Food and drink

There is little hope of an agreement for the Irish food and drink industry delegation participating in the International Food and Wine Show in Delhi on Friday.

Ireland 's largest export industry is lobbying for a reduction in India 's tariffs on food and drink, which can be as high as 500 per cent.

Bord Bia's chief executive Aidan Cotter said that's because of these tariffs, ‘‘business with India is almost nonexistent''.

Restrictions on foreign investment in the Indian retail sector also prevent cold storage chains opening in India or foreign supermarkets entering the market, said a Bord Bia official.

‘‘ India is the world's biggest producer of onions, yet it imports 80 per cent of what it consumes as it can't keep the produce fresh,” said the official.

India is the world's largest whiskey consumer, but at almost €50 a bottle compared to €7 for the local variety, foreign brands account for less than 2 per cent of sales.

Pointing to mounting international pressure on India , Micheal Patten, corporate relations manager for drinks giant Diageo, which owns Bushmills whiskey, said: ‘‘ India is good at positioning itself, but global economies are two-way streets.”

Industry observers said India 's high tariffs were a negotiating card which the country was unlikely to surrender ahead of World Trade Organisation (WTO) negotiations.

Bollywood and tourism

Minister for Tourism, Arts and Sport, John O'Donoghue - now known popularly as Minister for Bollywood thanks to his efforts to increase Ireland's share of blockbuster films from Mumbai - attracted headlines last week with a pledge to offer substantial tax breaks to Indian film crews.

Indian tourists would, he said, be targeted with a media campaign and sponsored visits of Indian travel agents and journalists.

A cultural agreement, which had been ‘‘in gestation'' for some time, was signed by O'Donoghue and his Indian counterpart. He said the agreement would help to address people's ‘‘general lack of understanding of each other and break down barriers''.