NEW DELHI, 15 October 2023: In a groundbreaking move, the International Agro Arbitration Centre (IAAC), the world's first agro-focused dispute settlement body, has been launched in New Delhi. This initiative, promoted by the Indian Chamber of Food and Agriculture, is set to revolutionize dispute resolution mechanisms in the agricultural and food sector, both in India and globally.
Agriculture: A Diverse and Expansive Sector
The agricultural and food trade has grown significantly, surpassing $2 trillion post-WTO. Many companies have gone global, including the USA, Netherlands, Germany, and Brazil, with India quickly catching up, exporting agricultural products to over 150 countries, amounting to more than $55 billion. At the same time, India imports nearly $25 billion. Such rapid growth has given rise to trade disputes that must be addressed promptly and cost-effectively.
Addressing the Agro Trade Challenges
Justice P. Sathasivam, Former Chief Justice of India and Former Governor of Kerala, highlighted the necessity of addressing the disputes that arise within the agro trade industry, affecting efficiency in various ways. These disputes can stem from contract issues, nuisance claims, produce quality, patent and IPR infringements, payments, and debt recovery.
The Birth of IAAC: A Sector-Specific Solution
To tackle these challenges, IAAC, an agro sector-focused arbitration center, was created. It provides a forum for addressing these issues and mitigating their negative impact on productivity, relationships, and costs, thus promoting a more productive and efficient global agro trade and agribusiness landscape.
A Global Institution with Domain Experts
IAAC has emerged as a trustworthy global institution with an expert panel comprising legal, financial, and agro-trade professionals at its core. This India-based institution offers alternative dispute resolution services to the agro food industry worldwide. It is committed to providing cost-effective, efficient, and impartial dispute resolution services that allow parties to quickly and effectively resolve their disputes.
IAAC's Role in Dispute Resolution
IAAC offers a range of dispute resolution services, including arbitration, mediation, and expert determination, for issues that may arise in the agro sector within India or abroad. The Center promotes peaceful dispute resolution in the agro and food industry and trade through alternative mechanisms, enabling parties to resolve their disputes effectively.
Fostering Global Collaboration
IAAC is dedicated to providing equal opportunities to parties across the globe, transcending geographical, linguistic, and financial boundaries. This commitment aligns with Indian policies and the judicial system, which encourage commercial disputes to be resolved through mediation and arbitration before approaching the courts.
A Global Initiative with a Diverse Board
IAAC's launch program witnessed the participation of global board members, including Ms. Khairul Nessa, Executive Director, World Trade Centre; Mr. Tarun Shridhar, Member, CAT; Dr. Abusaleh Shariff, Chairman, US-India Policy Institute; Mr. Harikshan Rankawat, President, Federation of Indian Industries, UAE; and Dr. Vikas Chaturvedi, Chairman, Institute of Chartered Accountants of India, Amsterdam.
In summary, the International Agro Arbitration Centre (IAAC) is poised to transform the landscape of agro dispute resolution. With its dedicated focus on the agricultural and food sector, IAAC is set to provide cost-effective, efficient, and impartial solutions to disputes, ultimately promoting a more productive and efficient global agro trade and agribusiness industry.
