India and ASEAN Make Progress in Trade Agreement Review
India has announced significant progress in the joint committee review of the ASEAN-India Trade in Goods Agreement (AITIGA), signaling a positive step towards enhancing trade relations with the ASEAN region.
Key Developments in the AITIGA Review
- The 6th AITIGA joint committee meeting, held in New Delhi, was co-chaired by Malaysia’s Investment, Trade and Industry Ministry deputy secretary-general Mastura Ahmad Mustafa and Rajesh Agrawal, an additional secretary at India’s Ministry of Commerce.
- The two sides are working towards upgrading the 14-year-old free trade agreement to make it more business-friendly, with eight sub-committees examining various issues such as market access, rules of origin, sanitary and phytosanitary measures, Customs procedures, and trade remedies.
- According to a statement from India’s Ministry of Commerce, the sub-committees have made good progress in textual discussions, and some ground has been covered towards initiating tariff negotiations.
Participation and Next Steps
Representatives from all 10 ASEAN countries participated in the New Delhi meeting, following the recent Asean-India Economic Ministers Meeting and the Asean-India Summit in Laos. The next AITIGA joint committee meeting is scheduled to take place in Jakarta in February.
Trade Figures and Future Outlook
Trade between India and ASEAN reached US$121 billion during the April 2023 – March 2024 period, highlighting the significant economic relationship between the two regions. The review of AITIGA is seen as a positive step towards enhancing trade with the ASEAN region in a sustainable manner.
Conclusion
The progress made in the joint committee review of the AITIGA demonstrates the commitment of India and ASEAN countries to strengthening their trade relations and fostering economic growth. With continued collaboration and dialogue, both parties can work towards further enhancing their trade partnership for mutual benefit.
FAQs
What is the AITIGA?
The ASEAN-India Trade in Goods Agreement (AITIGA) is a free trade agreement between ASEAN countries and India aimed at promoting trade and economic cooperation.
Why is the AITIGA review important?
The review of AITIGA is crucial for updating and improving the existing trade agreement to address current challenges, enhance market access, and facilitate smoother trade between India and ASEAN countries.