India Has Free Trade Agreements With Which Countries
With the world`s governments increasingly reducing their approach to trade deals amid the coronavirus pandemic, Narendra Modi`s government is also proactively stepping up its efforts to revive India`s trade relations with the rest of the world by revising its free trade agreement or FTA strategy. This includes the revision and renegotiation of existing free trade agreements with ASEAN, Japan and Korea, as well as the conclusion of strengthened trade alliances with the European Union, the United Kingdom, the United States and Australia. List of agreements between two states, two blocs or one bloc and one state. There are a number of issues that need to be considered in India`s approach to free trade agreements and trade agreements in general. Read also: Balance between lake tension and economic strategy – How India can oppose China India, which has left RCEP, has led it to renew its interest in bilateral talks. Free trade agreements in Australia and New Zealand are being revived. India is looking for ways to restart negotiations with the EU and speed up negotiations with EFTA. A free trade agreement between India and the US was also on the table, which angered farmers and unions at home because it would hurt local agriculture. Cooperation is offered in 13 sectors and each sector is managed by the Member States. These sectors are: framework agreement A framework agreement defines the period of future content liberalisation by defining the scope and orientations of a new field of discussion. The list of countries with which India has concluded a framework agreement is as follows: the India-Japan CePA entered into force on 01 August 2011. Bilateral trade between the two countries has seen strong growth in the year of its implementation, for example. B 2011-2012 compared to the previous year 2010-11.
However, not only did bilateral trade flows subsequently decrease, but they also experienced significant volatility between 2011-12 and 2018-19. Although exports to Japan continued to increase in the implementation year, for example. B 2011-2012, they were then born. On the other hand, imports from Japan increased, but there were many fluctuations. However, as in the case of ASEAN and Korea, India`s trade deficit with Japan not only grew between 2011-2012 and 2018-19, but also grew faster than India`s trade deficit with the world. On the other hand, domestic industry must understand that India`s decision to leave RCEP and Prime Minister Modi`s call for autonomy do not imply general and unlimited protection. For the sector to grow and become globally competitive, integration into the global value chain is essential. However, this requires pragmatism in the choice of trading partners for the opening of domestic markets, in particular China, which is known for its unfair trading practices. Ultimately, all trade deals are a game of “win some, lose some” and a balanced outcome is what all trading partners should be looking for.
Overall, India benefited from the free trade agreements signed with its trading partners from a trade balance perspective, and the only countries where the percentage increase in imports was greater than exports were Japan, South Korea and Sri Lanka. A comprehensive analysis of trade between India and its main FTA partners, mentioned above, shows a significant increase in trade since the agreements went into operation. SAFTA came into force on 1 January 2006 and, according to data from the Ministry of Trade and Industry, bilateral trade between India and other SAFTA member countries increased from $6.8 billion in 2005-2006 to $28.5 billion in 2018-19. SAFTA`s Indian trade has grown faster than overall trade with the world. As a result, the share of SAFTA countries in India`s international trade increased from 1.6% in 2005-2006 to 2.5% in 2018-19. . . .