ASEAN and India Agree to Strengthen Trade Relations Under AITIGA Review
ASEAN and India Agree to Strengthen Trade Relations Under AITIGA Review
Kuala Lumpur, May 14 (BERNAMA) – The ASEAN-India Trade in Goods Agreement (AITIGA) is set for a significant upgrade as member states and India conclude the fourth round of negotiations, marking a pivotal step toward enhancing trade and economic cooperation.
Key Outcomes of the AITIGA Review
The latest round of negotiations, held from May 7-9, 2024, saw substantial progress in refining the agreement to better serve the economic interests of both ASEAN and India. Key discussion points included:
-
Tariff Reductions & Trade Facilitation – Streamlining customs procedures and reducing trade barriers to boost bilateral commerce.
-
Rules of Origin (ROO) Updates – Ensuring clearer and more efficient criteria for determining product origin to prevent trade disputes.
-
New Trade Chapters – Incorporating modern trade elements such as sanitary and phytosanitary (SPS) measures and technical barriers to trade (TBT).
-
Dispute Settlement Mechanisms – Strengthening frameworks to resolve trade conflicts efficiently.
Why This Matters
The AITIGA, implemented in 2010, has been a cornerstone of ASEAN-India trade relations, with two-way trade reaching US$131 billion in 2022. However, evolving global trade dynamics necessitate an updated agreement to address current challenges and opportunities.
Datuk Seri Mohamed Azmin Ali, Senior Minister of International Trade and Industry (MITI), emphasized that the review aims to create a more balanced, equitable, and future-ready trade pact, benefiting businesses and consumers across ASEAN and India.
Next Steps
The fifth round of negotiations is scheduled for July 2024, with both parties working toward finalizing the upgraded agreement by 2025.
For further details, visit ASEAN Secretariat or Ministry of International Trade and Industry (MITI).
Key Takeaways:
✅ Progress in modernizing ASEAN-India trade rules
✅ Focus on reducing tariffs & improving trade efficiency
✅ Next negotiation round set for July 2024
This revision of AITIGA is expected to unlock new economic opportunities, reinforcing ASEAN and India’s position as key players in global trade.
