India & APTA- prospects

  1. Advantage India: India is likely to benefit from offers of China and South Korea for duty concessions in sectors including textiles, chemicals and iron and steel
  2. However, Indian industry had not gained much from APTA so far, especially in sectors such as textiles
  3. India, meanwhile, in return has offered duty concessions on rail rolling stock, nuclear reactors and fissile material besides other raw materials to boost the ‘Make In India’ initiative
  4. APTA is relevant as it is the only preferential trade agreement in force between India and China
  5. The concessions under APTA are on a give-and-take basis
  6. India’s tariff concession offers are only in areas where it is comfortable and where it has got something in return
  7. India is part of the RCEP negotiations but it will take some more time to be implemented as it is still under negotiations.
  8. Though another mega-trade pact called the TPP is in the works, its future is clouded by uncertainty as the U.S. Presidential candidates, in election rhetoric, have been speaking against it

Asia Pacific Trade Agreement (APTA)- all you need to know about

  1. APTA (formerly the Bangkok Agreement) was inked in 1975 and is the oldest preferential trade pact among Asia-Pacific countries
  2. It is an initiative under the United Nations Economic and Social Commission for Asia and the Pacific (UN-ESCAP)
  3. Aim: Trade expansion through exchange of tariff concessions among developing country members
  4. Six members: Bangladesh, China, India, Laos, South Korea, and Sri Lanka
  5. Covers a market with a GDP of $15 trillion, comprising nearly three billion people
  6. Since this is a preferential trade agreement, the basket of items as well as extent of tariff concessions are enlarged during the trade negotiating rounds from time to time
  7. Till date, three rounds of trade negotiations had taken place

Cabinet nod for expanded trade with China, Asia-Pacific nations

  1. What? A move for exchange of tariff concessions under the Asia Pacific Trade Agreement (APTA)
  2. Significance: The Cabinet approval will deepen the concessions being offered under this agreement
  3. Approval was also given to amend the preamble of APTA to effect accession of Mongolia as the seventh participating State
  4. These decisions will be implemented once all members ratify it by the Fourth Session of the Ministerial Council of APTA, slated to be held in January 2017 in Bangkok

:( We are working on most probable questions. Do check back this section.

Highest Rated App. Over 3 lakh users. Click to Download!!!