Lok Sabha Question No. 521 (UNSTARRED), answered on 2022-07-20
Subject: RTAs
Ministry: COMMERCE AND INDUSTRY
Asked by: Manoj Rajoria, Sumedhanand Saraswati, Ranjeeta Koli

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 521 TO BE ANSWERED ON 20 th  JULY, 2022

## RTAs

## 521. DR. MANOJ RAJORIA: SHRI SUMEDHANAND SARASWATI: SHRIMATI RANJEETA KOLI:

Will the Minister of COMMERCE & INDUSTRY ( वाणिज्य एवं उद्योग मंत्री ) be pleased to state:

- (a) the names of the Regional Trade Agreements (RTAs) which have proved beneficial for India;
- (b) whether there are any RTAs which have not been beneficial for the country;
- (c) if so, the names thereof and the manner in which they have not been beneficial for India;
- (d) whether the RTAs signed by India contain exit clause;
- (e) if so, the names of the RTAs containing exit clause and those not having it; and
- (f) whether the Asia Pacific Trade Agreement contains exit clause and if so, the details thereof?

## ANSWER

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THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SMT. ANUPRIYA PATEL)

- (a)  to  (c): India  has  signed  13  Regional  Trade  Agreements  (RTAs)/Free  Trade  Agreements (FTAs)  with  various  countries/regions  namely,  Japan,  South  Korea,  countries  of ASEAN region and countries of South Asian Association for Regional Cooperation (SAARC)Mauritius, United Arab Emirates, Australia. India's merchandise exports to all these countries/regions have registered a growth in last ten years.

The following table gives country/region wise merchandise export details:

| India's exports - RTA Partner Countries/Region wise Values in US$ billion      | India's exports - RTA Partner Countries/Region wise Values in US$ billion                                                | India's exports - RTA Partner Countries/Region wise Values in US$ billion                                   | India's exports - RTA Partner Countries/Region wise Values in US$ billion              |
|--------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------|
| India's RTA partner Countries/region                                           | Names of RTAs                                                                                                            | Export in 2011                                                                                              | Export in 2021                                                                         |
| ASEAN                                                                          | India-ASEAN FTA India-Singapore CECA India-Malaysia CECA India-Thailand FTA - Early Harvest Scheme (EHS)                 | 34.5                                                                                                        | 40.6                                                                                   |
| Japan                                                                          | India-Japan CEPA                                                                                                         | 5.6                                                                                                         | 6.1                                                                                    |
| South Korea                                                                    | India-South Korea CEPA                                                                                                   | 4.6                                                                                                         | 7.0                                                                                    |
| SAFTA                                                                          | Agreement on SAFTA India-Sri Lanka FTA India-Nepal Treaty of Trade India-Bhutan Agreement on Trade, Commerce and Transit | 13.0                                                                                                        | 31.6                                                                                   |
| Mauritius                                                                      | India-Mauritius Comprehensive Economic Cooperation and Partnership Agreement (CECPA)                                     | It is too early to calculate quantifiable benefits for this RTA, as it was implemented                      | It is too early to calculate quantifiable benefits for this RTA, as it was implemented |
| United Arab Emirates                                                           | India-UAE CEPA                                                                                                           | only w.e.f. 10.04.2021. It is too early to quantifiable benefits for RTA, as it was only w.e.f. 01.05.2022. | calculate this implemented                                                             |
| Australia                                                                      | India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA)                                                  | This RTA has been 02.04.2022, but implemented.                                                              | signed on not yet                                                                      |
| Source: Directorate General of Commercial Intelligence and Statistics (DGCI&S) | Source: Directorate General of Commercial Intelligence and Statistics (DGCI&S)                                           | Source: Directorate General of Commercial Intelligence and Statistics (DGCI&S)                              | Source: Directorate General of Commercial Intelligence and Statistics (DGCI&S)         |

In addition, India has also signed 6 Preferential Trade Agreements (PTAs) including Asia Pacific Trade Agreement (APTA).

- (d) & (e): All of India's RTAs, as listed in the table above, have exit clauses.
- (f): Yes, Sir.  Article  32  of  Asia  Pacific  Trade  Agreement  (APTA) mentions that ' Any Participating State may withdraw from this Agreement, such withdrawal to take effect six  months  following  the  day  on  which  written  notice  of  the  same  is  served  to  the Participating  States  through  the  Executive  Secretary  of  ESCAP.  The  rights  and obligations of a Participating State which has withdrawn from this Agreement shall cease to apply as of that date '.

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