A prominent Indian commerce and industry association said the country’s Free trade agreement (FTA) with Association of Southeast Asian Nations (ASEAN) has increased access for both Indian and ASEAN companies into each other’s markets.

A survey by the Federation of Indian Chambers of Commerce and Industry (FICCI) said “FTA has opened up more opportunities for Indian industries in terms of greater market access for their products in the ASEAN region.”

FICCI was quoting its findings on the impact of the FTA on Indian industry.

The FTA signed in August 2009 with 11 ASEAN member countries, which will lift import tariffs on more than 80 percent of traded products between 2013 and 2016, became operational in 2010.

“Fifty-nine percent of respondents foresee no negative impact of duty reduction in the domestic market,” said the study conducted on 78 companies across sectors.

The study said 20 percent respondents in sectors like engineering products, processed food, textiles, garments, plantation crops and auto parts have reported a fast pace of imports from ASEAN, while 72 percent said the sourcing of certain products from ASEAN countries has not had any “uneconomical” on Indian manufacturing.

via India-ASEAN free trade agreement increases market access: survey.

About the author

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Sign Up for Our Newsletter

Get notified of our weekly selection of news

You May Also Like

COVID-19 could bring about a ‘new deal’ for millions of Asia’s informal workers

In the Asia-Pacific region, informal workers account for nearly 60% of non-farm employment, higher than in other parts of the world.

ASEAN, United States reaffirm commitment to expand strategic partnership

The meeting took note that the long-standing ASEAN-U.S. partnership has expanded to cover a wide range of areas of cooperation undertaken across the three pillars of ASEAN Community.

Philippines to Allow 100 Percent Foreign Ownership of Public Services

Further, the Philippines may face a long road to recovery than its ASEAN neighbors. It imposed harsher and longer-lasting lockdowns and stimulus packages issued by the government have been more conservative compared to other ASEAN members.