The ASEAN-India Free Trade Agreement (AIFTA) is a comprehensive economic partnership agreement between the Association of Southeast Asian Nations (ASEAN) and India. This agreement aims to enhance trade relations between these two regions and promote economic growth.
The AIFTA was signed on 13 August 2009 and came into effect on 1 January 2010. It covers a wide range of areas, including trade in goods, trade in services, investment, and economic cooperation.
One of the key features of the AIFTA is the elimination of tariffs on 80% of goods traded between India and ASEAN. This has resulted in a significant increase in trade between the two regions. In 2019, trade between ASEAN and India reached $97 billion, making ASEAN India’s fourth-largest trading partner.
Since the implementation of the AIFTA, there have been ongoing efforts to further strengthen the economic partnership between ASEAN and India. In 2017, the two parties agreed to expand the scope of the agreement to include areas such as e-commerce, intellectual property rights, and competition policy.
For businesses looking to trade between ASEAN and India, the AIFTA provides a framework for a more streamlined and predictable trading environment. By eliminating tariffs and reducing non-tariff barriers, the agreement has made it easier and more cost-effective for businesses to trade with each other.
For more information on the AIFTA, the full text of the agreement is available in PDF format on the official ASEAN website. This document provides a detailed overview of the agreement’s provisions and can be a valuable resource for businesses looking to trade between ASEAN and India.
In conclusion, the ASEAN-India Free Trade Agreement has opened up new opportunities for businesses in both regions. With the elimination of tariffs and the expansion of the agreement into new areas, the partnership between ASEAN and India is set to continue to grow and strengthen in the years to come.