Addressing the South-South and Triangular Cooperation summit here, Goyal said that the
"the time has come to take on the policies of protectionism and unilateral measures
by some developed countries that are having an adverse effect on global free trade."
Hinting at the costly impact of the trade tensions between the US and China, the Commerce and Industry Minister said that if "protectionist measures continue, there will be recession in the world and no country will escape it".
The Minister urged all World Trade Organisation (WTO) member countries to take up reforms and not deal with issues in a piecemeal manner.
Goyal also said that the protectionist policies being adopted by some countries in the developed world are affecting engagement between nations for trade in goods and services as well as for the protection of investments.
US President Donald Trump recently threatened to pull the US out of the WTO, accusing China and India of taking undue advantage of the "developing" nations tag, when these emerging economies had actually surpassed this category.
A recession is typically marked by two consecutive quarters of decline in a country's gross domestic product (GDP). Recession not only causes turmoil in the financial markets, but also causes the unemployment rate to soar, as both industrial production and investments take a hit.
Global financial markets have, of late, been experiencing sharp selling-off owing to recession fears.
Warning signals are also coming via the other historic indicator of recession the bond yield curve. The yield curve has typically inverted before recession, and it is currently nearly similar to what was seen ahead of the 2008 financial crisis.
( With inputs from IANS )