Lok Sabha Question No. 3612 (UNSTARRED), answered on 2024-12-17
Subject: Free Trade Agreements
Ministry: COMMERCE AND INDUSTRY
Asked by: Shri Rao Rajendra Singh

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

## LOK SABHA UNSTARRED QUESTION NO. 3612 ANSWERED ON 17/12/2024

## FREE TRADE AGREEMENTS

## 3612.  SHRI RAO RAJENDRA SINGH:

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

- (a) whether the Government has any data on the multiple Free Trade Agreements (FTAs) that have been finalised since 2019, if so, the details thereof;
- (b) whether  the  Government  has  any  data  on  any  such  free  trade  agreements  that  are currently  being  planned,  if  so,  the  details  thereof  indicating  the  number  of  jobs  that  these FTA's are likely to create for the Indian population; and
- (c) whether  there  is  any  data  available  on  the  impact  that  past  FTA's  have  had  on  the relations between the countries that have been party to it and if so, the details thereof?

## ANSWER

## वाणिज्य और उद्योग मंत्रालय में राज्य मंत्री (श्री णिणिन प्रसाद)

## THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI JITIN PRASADA)

- (a) Government  of  India  has  signed  the  following  Free  Trade  Agreements  (FTAs)  with  its trading partners since 2019:
- (b) & (c) India is currently negotiating the following FTAs with its trading partners:
- (i) India-UK FTA, with the United Kingdom
- (ii) India-EU FTA, with the European Union
- (iii) India-Australia  Comprehensive  Economic  Cooperation  Agreement  (CECA),  with Australia

|   Sl. No. | Name of the Agreement                                                                        | Date of Signing of the Agreement   |
|-----------|----------------------------------------------------------------------------------------------|------------------------------------|
|         1 | India - Mauritius Comprehensive Economic Cooperation and Partnership Agreement (CECPA)       | 22 nd February, 2021               |
|         2 | India-UAE CEPA                                                                               | 18 th February, 2022               |
|         3 | India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA)                      | 2 nd April, 2022                   |
|         4 | India-European Free Trade Association (EFTA) Trade and Economic Partnership Agreement (TEPA) | 10 March 2024                      |

- (iv) India-Peru Trade Agreement, with Peru
- (v) India-Sri Lanka Economic and Technical Cooperation Agreement (ETCA), with Sri Lanka, and
- (vi) India-Oman FTA, with Oman.

Moreover, India has also initiated review of its existing FTAs, namely, India-South Korea Comprehensive Economic Partnership Agreement (CEPA) with South Korea, and ASEAN-India Trade in Goods Agreement (AITIGA) with 10 ASEAN countries.

Free  Trade  Agreements  (FTAs)  are  entered  into  with  the  concerned  trading  partner countries  primarily  with  the  aim  to  increase  the  bilateral  trade  through  enlarging  the  scope  of market  access  and  build  on  the  trade  complementarities  for  increasing  trade  and  investment, thereby providing enhanced export potential, creating benefits for industry as well as farmers and creating job opportunities. India also seeks preferential market access for labour intensive sector products  under  the  FTAs,  increase  in  exports  of  which  adds  to  employment  opportunities  in sectors like textile, apparel and leather goods . Any trade deal is negotiated with the endeavour to deliver a comprehensive, balanced, broad-based and equitable agreement based on the principle of  fairness  and  reciprocity  and  overall  benefit  to  all  the  stakeholders.  It  also  ensures  a  level playing field for Indian exporters vis-a-vis their competitors who may have preferential access in our trading partner countries.

India's trade with FTA partner countries show an increase of 100% in exports as compared to 84.7% in imports from the year of implementation of the FTA to 2023-24.  A comparative statement  of  Exports  and  Imports  for  the  years  of  implementation  and  2023-24  is  attached  as Annexure.

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Annexure referred to in reply  to Part (b)  &  (c)  of  Lok  Sabha  Unstarred  Question  No.  3612  for answer on 17.12.2024.

## MERCHANDISE TRADE OF INDIA WITH FTA PARTNER COUNTRIES (YEAR OF

## IMPLEMENTATION AND 2023-24)

(In USD Million)

| S.   | Name of the Agreement                                                   | Year of start of   | Export/Import     | Year                                   | Year        |
|------|-------------------------------------------------------------------------|--------------------|-------------------|----------------------------------------|-------------|
| No.  |                                                                         | Implementation     |                   | In the Year of Start of implementation | 2023-24     |
| 1    | Agreement on South Asian Free Trade Agreement (SAFTA)                   |                    | Export from India | 6,473.81                               | 25,623.66   |
|      |                                                                         | 2006-07            | Import to India   | 1,507.45                               | 5,171.01    |
| 2    | India-ASEAN CECA - Trade in Goods, Services                             |                    | Export from India | 25,627.89                              | 41,207.67   |
|      | and Investment Agreement                                                | 2010-11            | Import to India   | 30,607.96                              | 79,664.31   |
| 3    | India-South Korea Comprehensive Economic Partnership                    |                    | Export from India | 3,727.29                               | 6,416.67    |
|      | Agreement (CEPA)                                                        | 2010-11            | Import to India   | 10,475.29                              | 21,135.38   |
| 4    | India-Japan CEPA                                                        |                    | Export from India | 6,328.54                               | 5,156.28    |
|      |                                                                         | 2011-12            | Import to India   | 11,999.43                              | 17,695.52   |
| 5    | India-Mauritius                                                         |                    | Export from India | 714.85                                 | 778.03      |
|      | Comprehensive Economic Cooperation and Partnership Agreement (CECPA)    | 2021-22            | Import to India   | 71.87                                  | 73.1        |
| 6    | India-UAE CEPA                                                          |                    | Export from India | 31,608.79                              | 35,625.02   |
|      |                                                                         | 2022-23            | Import to India   | 53,231.55                              | 48,025.58   |
| 7    | India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA) |                    | Export from India | 6,951.32                               | 7,940.75    |
|      |                                                                         |                    | Import to India   | 19,011.31                              | 16,159.20   |
|      |                                                                         | 2022-23            |                   |                                        | 1,61,585.08 |
|      | TOTAL Export                                                            | TOTAL Import       | TOTAL Export      | 80,717.64 1,26,904.86                  | 2,34,381.04 |

Source: DGCI&S

Note : Countries viz., Bhutan, Nepal, Sri Lanka, Thailand, Singapore and Malaysia with which separate FTAs have been executed are excluded as they are also part of one of Regional Trade Agreements (RTAs) listed above, to avoid double counting of data.

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