Commerce Minister to represent India at the RCEP

Commerce Minister to represent India at the Regional Comprehensive Economic Partnership (RCEP), East Asia meetings in Bangkok

The Regional Comprehensive Economic Partnership (RCEP) is a proposed Free Trade Agreement (FTA) between the ten member states of the Association of Southeast Asian Nation (ASEAN) (Brunei, Cambodia, Indonesia, Laos, Malaysia, Mynamer, the Philippines, Singapore, Thailand, Vietnam) and its six FTA partners (China, Japan, India, South Korea, Australia and New Zealand)

RCEP negotiations were formally launched in November 2012 at the ASEAN Summit in Cambodia.

Indian Economic growth dipped in Financial Year 2018 to 7.0% from 7.2% in Financial Year 2017, mostly due to slower growth in agriculture, which grew by 2.7%—the slowest in 3 years. On the supply side, industry buoyed growth, rising sharply by 7.7% in Financial Year 2018 due to strong manufacturing, construction, and utilities. On the demand side, private consumption grew by 8.3%—its highest in 7 years. Domestic demand will remain the main driver of growth. Steps to alleviate agriculture distress—such as income support to farmers and strong hikes to procurement prices for food grains—may bolster rural demand. GDP growth should return to 7.2% in 2019 and rise slightly to 7.3% in 2020.

Regional Comprehensive Economic Partnership (RCEP) in Bangkok and the East Asia Economic Ministers Summit in Bangkok between September 8-10.

The Minister is also scheduled to hold bilateral meetings with his counterparts from Japan, Singapore, China, Indonesia, Australia, New Zealand, the Philippines, Thailand and Russia, according to an official release.

“The meetings will be attended by Economic Ministers and senior leaders of the 10 ASEAN member countries and eight East Asia Summit (EAS) countries,” according to an official release.

The Trade Ministers of RCEP countries, which includes the 10-member ASEAN, India, China, South Korea, Japan, Australia and New Zealand, will try to give a final shape to the proposed free trade pact which includes several areas such as goods, services, investments, intellectual property and government procurement.

“Engagement with ASEAN is at the core of India’s ‘Act East’ policy. ASEAN is the gateway to the Indian Ocean region and as close partners, there is convergence of views in India’s and ASEAN’s outlook in the region,” the release stated.

India’s bilateral trade jumped threefold from $21 billion in 2005-06 to $96.7 billion in 2018-19. ASEAN countries together have emerged as the largest trading partner of India in 2018-19 (followed by the US), with a share of 11.47 per cent in India’s overall trade, while India was ASEAN’s sixth largest trading partner in 2018, the release added.

Investment flows are also substantial both ways. The foreign direct investment (FDI) inflows into India from ASEAN in the April-March 2018-19 period was about $16.41 billion which is approximately 36.98 per cent of total FDI flow into India.

FDI inflows from India to ASEAN in 2018 was $1.7 billion, placing India as ASEAN’s sixth largest source of FDI.

Source-https://www.thehindubusinessline.com/economy/commerce-minister-to-represent-india-at-the-rcep-east-asia-meetings-in-bangkok/article29352860.ece?homepage=true

Please 💬.