Asian countries agree on world's biggest trade pact, India stays away

[Shahzaz ud din]

Asian countries agree on world's biggest trade pact, India stays away
By Reuters
Published: November 4, 2019
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Delhi delays decision owing to significant differences over tariffs, other issues. PHOTO: REUTERS

BANGKOK: Fifteen Asian countries agreed terms on Monday for what could be the world’s biggest trade pact, they said in a statement, but India delayed its decision on joining because of significant differences over tariffs and other issues.

The Regional Comprehensive Economic Partnership (RCEP) is backed by China and also brings in the 10-member Association of Southeast Asian Nations (Asean), Japan, South Korea, Australia and New Zealand.

Participating countries met in Bangkok alongside a meeting of Southeast Asian leaders.
“We noted 15 RCEP participating countries have concluded text-based negotiations for all 20 chapters and essentially all their market access issues,” the statement from the leaders said, to allow for signing next year.

“India has significant outstanding issues, which remain unresolved… India’s final decision will depend on satisfactory resolution of these issues,” it said.

The United States-China trade war has given new impetus to years of discussions on the trade bloc.

But India decided not to agree to it as it stands due to differences over tariffs, its trade deficit with other countries and non-tariff related barriers, Indian Prime Minister Narendra Modi was quoted as saying.

“Present form of the RCEP agreement does not fully reflect the basic spirit and agreed guiding principles of RCEP,” Modi was quoted as saying by Indian public broadcaster Prasar Bharati News Services in a tweet. “It does not address satisfactorily India’s outstanding issues and concerns.”

India has been worried that the agreement, which requires the gradual elimination of tariffs, would open its markets to a flood of cheap Chinese goods and agricultural produce from Australia and New Zealand that would harm local producers.


Read more: ASEAN , deal , Latest

 

[atan651]

So glad India is out of it. My guess is that India will come crawling back to join RCEP (and dropping its demands)when all 15 other nations are ready to sign off on the final deal next year.

 

[rajiv sharma]

So glad India is out of it. My guess is that India will come crawling back to join RCEP (and dropping its demands)when all 15 other nations are ready to sign off on the final deal next year.

let us wait and see then . who will eat the dust ultimately

 

[8888888888888]

It got delayed a year because of India, I guess the rest of the members got fed up of waiting.

 

[Krptonite]

So glad India is out of it. My guess is that India will come crawling back to join RCEP (and dropping its demands)when all 15 other nations are ready to sign off on the final deal next year.

What would you recommend?
At present our domestic sector production needs to be developed to match international standards.

The FTA as is, doesn't address our concerns and will potentially be harmful to our industry.

Should we sign agreements based on the global community or our own interests?

 

[War Thunder]

let us wait and see then . who will eat the dust ultimately

These little clowns think they are something more than a laughing stock for the world.

 

[Zapper]

These little clowns think they are something more than a laughing stock for the world.

Pak has an FTA with China and how exactly were you able to benefit from this? Your trade gap stood at $9.7bn in FY18. Agreeing for the RCEP with current terms would flood our market with cheap Chinese goods resulting in increased trade deficit

Also, the meeting concluded with the group insisting there remained a “very wide, open door” available to India, should it wish to return to the deal. All RCEP participating countries said they will work together to resolve India's outstanding issues in a mutually satisfactory way

https://www.dawn.com/news/1423551

https://www.dawn.com/news/1341555

https://www.theguardian.com/world/2...a-pacific-trade-deal-rcep-but-india-holds-out

 

[Beast]

Pak has an FTA with China and how exactly were you able to benefit from this? Your trade gap stood at $9.7bn in FY18. Agreeing for the RCEP with current terms would flood our market with cheap Chinese goods resulting in increased trade deficit

Also, the meeting concluded with the group insisting there remained a “very wide, open door” available to India, should it wish to return to the deal. All RCEP participating countries said they will work together to resolve India's outstanding issues in a mutually satisfactory way

https://www.dawn.com/news/1423551

https://www.dawn.com/news/1341555

https://www.theguardian.com/world/2...a-pacific-trade-deal-rcep-but-india-holds-out

Trade deficiency is not a bad thing and depends on what products. For example, solar panel import by Pakistan could in fact help the poor or remote area to have electricity and therefore increase productivity reducing heavy dependent on oil for energy. Heavy machinery which Europe or American selling a exorbitant prices while China sell it at fraction of what they are selling helps industrialize with crane, heavy lifter, milling machine, tunnel boring machine and mixer...

 

[Brutas]

Australians and New zealanders agreed to join China led economic block.... very interesting....

 

[Type59]

Pak has an FTA with China and how exactly were you able to benefit from this? Your trade gap stood at $9.7bn in FY18. Agreeing for the RCEP with current terms would flood our market with cheap Chinese goods resulting in increased trade deficit

Also, the meeting concluded with the group insisting there remained a “very wide, open door” available to India, should it wish to return to the deal. All RCEP participating countries said they will work together to resolve India's outstanding issues in a mutually satisfactory way

https://www.dawn.com/news/1423551

https://www.dawn.com/news/1341555

https://www.theguardian.com/world/2...a-pacific-trade-deal-rcep-but-india-holds-out

Do you have a surplus with china? You post implies you do.

 

[Zapper]

Do you have a surplus with china? You post implies you do.

That's what I'm stating, our current trade deficit would further increase. Nothing could be gained for what India is asking for which are Pharma & IT. Jewelry & Auto-parts wouldn't make the cut with what would flow in from China and would end up killing a ton of local small-scale businesses. Since the door is open for India to enter anytime, significant internal economic reforms & policies are required for us to enter RCEP

 

[Imran Khan]

let us wait and see then . who will eat the dust ultimately

yes india will come back in pact with her tail between legs

 

[maximuswarrior]

let us wait and see then . who will eat the dust ultimately

How about you eat some of Modi's shit first to see through that smog.

 

[vi-va]

Australians and New zealanders agreed to join China led economic block.... very interesting....

China has FTA with Australia and New Zealand, nothing new.

 

[rajiv sharma]

yes india will come back in pact with her tail between legs

How about you eat some of Modi's shit first to see through that smog.

i guess you think about $hit 24/7 , come on dont spread it here .