India has shown interest in making free trade agreements between the two countries, so that its businessmen can also get the benefits of bilateral trade. Experts say that India is talking on free trade and bilateral trading agreements with countries like Britain, European Union, Oman, Qatar, New Zealand, Peru, Sri Lanka, including America, which if successful, India’s small industries will get more than one and a half dozen agreements in the new market achieved. It is believed that this will also neutralize the counter -import duty imposed by the US on India.
In this regard, economic affairs experts say that if India succeeds in making free trade agreements with targeted countries, then not only will the customs duty decrease, but they can also be abolished. This will also make the access of Indian goods to the markets there easier. Apart from this, the pace of trade between the respective countries will be accelerated and the security of the investment there will also be ensured. Also, protecting intellectual property will be possible. Trade of various services will also increase. This will reduce logistic costs with those countries, while small businesses will get bumper opportunities.
Also read: Tariff War will not have much impact on Indian economy
This is the reason why India has accelerated the pace of trade agreements with the rest of the world amid the counter tariffs imposed by the US on India. However, the Government of India’s effort is that not only the bilateral agreement with the US is rapidly fulfilled, but also with other countries like the European Union, New Zealand, Oman, Britain, free trade (FTA) and bilateral agreements should be completed at the earliest. In view of this, the Government of India has increased its perception on its behalf so that the US recipes imposed a minimum impact on the Indian economy on Indian goods on Indian goods. It is believed that this related success of the Government of India will give India’s entrepreneurs a chance to do business in association with other countries.
It is noteworthy that in view of the changed nature of American trade policies at present, other countries have also expressed a desire to expedite the ongoing trade agreements with India, which the Indian administration has also given the green signal. It is noteworthy that more than 20 countries such as New Zealand, America, Britain, European Union (EU), Oman, Peru, Qatar, and Sri Lanka are being talked on trade agreements, which is expected to get meaningful results soon. In these, talks with America, Qatar, Oman, Britain and the European Union are being given a lot of priority, so that its meaningful results can also be revealed very soon. At the same time, there is a strong chance that these agreements will be finalized as soon as possible. Because now through these, India is trying to find new business opportunities with other countries.
Experts say that India has already reached an agreement with 13 countries including Australia. India has signed 13 Regional Trade Agreements (RTA)/Free Trade Agreement (FTA) with various countries/regions ie Japan, South Korea, ASEAN region countries and South Asian Regional Cooperation Organization (SAARC) Mauritius, United Arab Emirates, Australia. Although experts say that there are opportunities to move forward through business agreements, but there are some challenges associated with which need to be understood. Experts say that even though India has made free trade agreements with some South Asian countries, now China is sending goods to India by setting up its unit in countries which will have to make diplomatic efforts to stop. Or you have to be aware of such free trade agreements, otherwise the national interests of India are fixed.
Explain that by imposing 26 percent additional import duty on India by the US, textile and apparel, minerals, agriculture, meat, processed packets, plastic goods, medical, leather, paper, diamonds, gold, gold, gold, gold, gold products, steel and metal, machine, computer, chemicals, pharma, electric products and telecom etc. will be the most impact, hence the Indian government is busy in making their alternative paths. It is noteworthy that trade is made smooth through bilateral free trade agreement between two countries. Because after the agreement it becomes easier to trade between the two sides. In view of such an agreement, the two countries together ensure the access of goods and services to their businessmen and companies through import duty or through a prescribed minimum duty. Along with this, logistic, payment guarantee and other business related facilities are available.
Statistics show that 14 rounds of discussion has been completed since the year 2022 between India and Britain about the FTA, after which the talks have now visible again. At the same time, preparations are underway to finalize FTA talks between India and the European Union (EU) soon. At the same time, the official talks about CEPA between India and Oman started in November 2023, in view of which the agreement is now ready to be made soon and efforts are being made to finalize it. At the same time, a TEPA agreement between India and the European Union Free Trade Association i.e. India, Iceland, Norway, Switzerland, Liechtenstein has been signed, which is going on to make the initiative to wide. At the same time, there is talk of doing FTA between India and Qatar, under which the two countries have committed to double their trade in the next five years i.e. 28 billion US dollars. At the same time, an FTA is proposed between India and New Zealand, which has started again after 10 years. Because both countries are now in favor of fulfilling this agreement as soon as possible. At the same time, negotiations are going on between India and the United States on bilateral trade agreement, under which a target has been set to double the trade by 2030 to US $ 500 billion.
In fact, if the FTA, CEPA, TEPA talks running with the above countries get a targeted position soon, then the import tax between the two countries will be reduced or completely removed, this will make the trade cheaper. Not only this, it will be easier to sell goods and services in other countries concerned by reducing the limits of import ie quota license and technical rules. In addition, customs processes between the two countries will become easier, paperwork will be reduced and it will reduce both time and cost to move goods from one country to another. Apart from this, the money of foreign companies is safe and if there is any dispute, then legal methods are available to resolve it. At the same time, things like patents, copyright, trademarks are protected, so that the rights of new inventors and creators are reserved. Whereas in areas such as banking, telecom and professional services, their trade is increased by easy. The government also provides logistic services to industries, which reduces this cost for them. This also gives small companies and traders a chance to sell goods abroad, which was limited to only big companies. This is the reason why all governments promote free trade agreements in interested countries and make bilateral trade agreements. In this way, various doors will be opened automatically for the trade of India, which is making its place fast in the world economy, which will also give a lot of benefits to our entrepreneurs.
– Kamlesh Pandey
Senior journalist and brilliant
