Professional Documents
Culture Documents
NAFTA
Economic Community
of West African
States(ECOWAS)
Central
American
neighbors
The Economic and
Costa Rica, El
Salvador, Monetary
Guatemala, Community of
Honduras, Central Africa
Nicaragua Gabon,
Cameroon, the
Central African
Republic (CAR),
The Latin
Chad, the
American
Republic of the
Integration
Congo and
Association
Equatorial
Guinea
Recent developments
▪The Regional Comprehensive Economic Partnership (RCEP) is a so-
called mega-regional economic agreement being negotiated since 2012
between the 10 ASEAN (Association of South-East Asian Nations)
governments and their six FTA partners: Australia, China, India, Japan,
New Zealand and South Korea.
▪The Trans-Pacific Partnership (TPP) is a trade and investment
agreement that was signed on 7 March 2018, after ten years of
negotiation, between 11 Pacific Rim countries. The TPP began as an
agreement between the four Pacific states of Brunei Darussalam, Chile,
New Zealand and Singapore. later, the governments of Australia, Peru
and Vietnam announced their intention to join as well. Malaysia,
Mexico, and Canada joined the negotiations in 2010, while Japan joined
in 2013. The US quickly assumed leadership of the whole negotiating
process.
Why this difference in tii values?
NAFTA
Which are the existing trade agreements signed by India and the upcoming
ones which can impact my business?
As a business firm, how do I gain from RTAs signed by India?
Does all the trade agreements that India has signed, gives me equal business
advantage irrespective of the products I am dealing in?
Out of plethora of trade agreements signed by India, how do I choose the best
suited for my product??
Are all RTAs where India is not a part a threat to me as Indian exporter?
How do I inbuilt understanding of trade agreements in my company’s global
sourcing strategy?
Three companies in India exporting three different products. Will all three
companies have equal opportunities when India signs any trade agreement.
Case example from Indo-ASEAN FTA
Economic Union
Free
movement of Common Market
factors of CET
production
Custom Unions
Does Indian
companies hold any
opportunity in SACU
despite absence of
any trade agreement
either with SACU or
with any of these
countries
independently?
WTO MFN
Rate: 42%
• Import of components
• Assemble in Africa:
Made in Africa tag (ldc)
• Manufacture in Africa
and export to eu
COMESA comes
to your rescue
50% To be made duty free from 2004 The Rules of Origin (RoO) criteria have
alsoof tea
50% fixed tariff concession for imports beenfromdefined
Sri Lankaunder
(AnnualISLFTA. The of
maximum quota
50%-Tea 15 million Kilograms) preferential duties will be applicable
only if the domestic value-addition is at a
Garments covering Chaptersminimum 61 & 62 whileof 35 remaining
percent orin 25
thepercent
negative
list, will be given 50 percent when tariff
Indianconcessions on a10fixed
inputs comprise basis,
percent.
subject to an annual restriction of eight million pieces, of which six
million shall be extended the concession only if made of Indian fabric.
50%- On utilization of the unrestricted quota, an additional quota of 2 million
Garments pieces out of 8 million pieces is permitted. The quota level per
category is increased from 1.5 million to 2 million pieces per category
per year.
Concessions of Textile items restricted to 25 percent on Chapters 51-56, 58-60, & 63.
25%- Four Chapters under the Textile sector retained in the negative list (Chapters 50, 57,
Textiles 61, and 62)
Ready reference for Indian Exporters
Chile
plastics rubber pharma dyes and resins leather textiles
Nepal Vanaspati(one lakh mt), copper products (10,000mt), acrylic(10,000mt), Zinc oxide(2,500mt)
ROO :30%
ROO :10-20-
100%