An Indian delegation led Prime Minister Narendra Modi is on a three-day visit to Bangkok in Thailand to attend the ASEAN (Association of Southeast Asian Nations) and RCEP (Regional Comprehensive Economic Partnership) summits.
India has indicated that it will join the proposed RCEP on its own terms and conditions. Modi, speaking at the summit, also spoke of reviewing the existing trade agreement between ASEAN and India.
On Saturday, while leaving for Bangkok, Modi had maintained that India will consider whether its concerns and interests in trade in goods, services and investments are being fully accommodated when he attends the RCEP Leaders’ Summit there.
Officials from Ministry of Commerce has added that the India side has raised some concerns and apprehensions, and will work what is in the best interest of the trade amid protest from farmers and some industry groups.
“The government has heard concerns and will work in the best interest of the industry. While the focus is to conclude the deal, it will put forth its apprehensions and concerns with the partners,” said a commerce ministry official.
The view was reiterated by the Prime Minister during his interview with the local media there. “We have put forward reasonable proposals in a clear manner and are engaged in negotiations with sincerity. We would like to see commensurate levels of ambition on services from many of our partners, even as we are ready to address their sensitivities,” Modi said in an interview.
Summit host Thailand said late on Sunday that the deal could be signed by February 2020. Thailand had previously said it aimed to conclude negotiations by the end of the year. Indian Industry, however, said that it is in the best interest of India to sign the deal.
“A large section of Indian Industry has expressed serious concerns about joining RCEP on the basis of very genuine reasons, especially pertaining to China, and CII is thankful to the government for taking these on board while negotiating the trade agreement. However, any decision of joining an agreement of this size and magnitude must not be based on our concerns with regards to just one country. FTAs must be considered from their long-term impact, both on our domestic market and the access it provides. Some of our industries may be domestically focused today, but in 10 years, would want the access to this most vibrant region of 15 other countries that RCEP provides,” said CII President Vikram Kirsosker.
Guarding domestic interests
On Saturday, PM Modi had said that India will consider whether its concerns and interests in trade in goods, services and investments are being fully accommodated at the RCEP Summit