ASEAN-INDIA TRADE AGREEMENT (Syllabus: GS Paper 2 – IR)

News-CRUX-10     21st February 2024        
output themes

Context: The 3rd meeting of AITIGA Joint Committee for undertaking the review of ASEAN-India Trade in Goods Agreement (AITIGA) was hosted by India in Vanijya Bhawan, New Delhi from 16-19 February 2024.


ASEAN-India Trade in Goods Agreement

  • About: The AITIGA was signed in 2009.
  • In September 2022, both sides tasked the AITIGA Joint Committee to undertake the review.
  • Formation of Sub-committees: Eight Sub-committees have been constituted under the AITIGA Joint Committee.

oThese sub-committees focus on different policy areas related to the Agreement.

  • Focus Areas: For further deliberations were outlined, updating the work programme for the Review.
  • Growth in India-ASEAN Trade: India-ASEAN trade reached USD 131.58 billion in 2022-23.

oAITIGA review aims to facilitate further expansion of trade in a balanced and sustainable manner.

  • 4th meeting of AITIGA Joint Committee: May 2024 in Kuala Lumpur, Malaysia.


The ASEAN Free Trade Area (AFTA) 

  • About: AIFTA means the ASEAN-India Free Trade Area under the Framework Agreement on Comprehensive Economic Cooperation between the Republic of India and the Association of Southeast Asian Nations;
  • It consists of three agreements: The ASEAN Trade in Goods Agreement (ATIGA), the ASEAN Framework Agreement on Services (AFAS) and the ASEAN Comprehensive Investment Agreement (ACIA). 
  • Objective: It eliminates tariffs for trade in goods, investments and services within the ASEAN region.


ASEAN

  • Established: In 1967, by the Bangkok Declaration.
  • Type:  A political and economic union of 10 member statesin Southeast Asia.
  • Members: Indonesia, Singapore, Philippines, Malaysia, Brunei, Thailand, Cambodia, Lao PDR, Myanmar, and Vietnam.
  • Objective: It promotes inter-governmental cooperation and facilitates economic, political, security, military, educational, and socio-cultural integration between its members and countries in the Asia-Pacific.
  • Secretariat: Jakarta, Indonesia.
Samadhaan