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Major Regional Trade Aggrements

India-Russia

There has been an MoU on Cooperation between the Ministry of Commerce & Industry of

the Republic of India and the Ministry of Economic Development & Trade of RussianFederation. It was signed during the visit of Mr. G.O. Gref, Minister of Economic

Development & Trade of Russian Federation to India on 6.2.2006. The MoU provides for

setting up of JSG between India-Russia. The objectives of the JSG are as under:-

Formulate a program by the end of 2006 to suggest steps for enhancing bilateral tradebetween India and Russia to a level of US$10 billion by 2010

Study the feasibility to consider the possibility of signing Comprehensive EconomicCooperation Agreement between India and the Government of the Russian

Federation.

Progress

Three meetings of the JSG have taken place till date otherwise there has been no significant

progress. The report of the JSG would analyze the prospects for Trade in Goods, Services and

Investment Cooperation between India and Russia. There have been undergoing efforts to

finalize the report.

The new director-general of the multilateral trade body has got a shot in the arm as New

Delhi has recently said it was "in favour" of a trade facilitation agreement (TFA).A TFA will include binding commitments by member countries to harmonise the

documentation as well as customs clearance standards and procedures among member

countries in what could ease cross-border trade and reduce costs by 5-15%.The importance of

TFA can be gauged from the fact that while average world tariffs are 5% ad valorem, trade

(customs) costs are 10%. The current world cross-border trade is $18 trillion.

India-Australia

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A Joint Study Group (JSG) was constituted in April 2008 to, inter alia, examine the

feasibility for establishing a Free Trade Agreement (FTA) between India and

Australia. Based on the recommendations of the JSG, India-Australia are negotiating CECA

covering trade in goods, services, investment and IPR related issues. The 1st round of India-

Australia CECA negotiations was held during 28th-29th July, 2011.

Bilateral FTA negotiations are underway Australia and India as Bilateral trade between both

countries in 2012 grew by over 30%. Russia has stated publicly that it supports India

receiving a permanent seat on theUnited Nations Security Council.In addition, Russia has

expressed interest in joiningSAARC with observer status in which India is a founding

member.

On 12 May 2011 then Trade Minister Craig Emerson and Indian Minister for Commerce and

Industry Anand Sharma formally launched negotiations to conclude a Comprehensive

Economic Cooperation Agreement between Australia and India. Prime Minister Singh andthen Prime Minister Gillard reaffirmed the importance of achieving a high quality agreement

during then Prime Minister Gillard's 15-17 October visit to India. Australia looks for a

comprehensive and truly liberalising agreement, consistent with the governments trade

policy. Similar to the elements covered in Australias existing bilateral Free Trade

Agreements, a Comprehensive Economic Cooperation Agreement would include coverage of

investment and trade in goods and services. The Department is currently analysing public

submissions on the Comprehensive Economic Cooperation Agreement negotiations.

Key interests and benefits

A comprehensive agreement would assist in widening the base of merchandise trade byaddressing tariff barriers and border restrictions on trade in goods.

There is significant potential to expand trade in services between India and Australia. AnFTA could facilitate growth in services trade by reducing barriers faced by Australian service

suppliers and by increasing regulatory transparency.

An FTA could facilitate and encourage investment by reducing barriers, increasingtransparency and enhancing investment protections.

Regional Comprehensive Economic Partnership (RCEP) negotiations were launched on

20 November 2012. RCEP is an ASEAN centred agreement which will initially include the

ten ASEAN countries and the six countries with which ASEAN has separate free trade

agreements (FTAs): Australia-New Zealand, India, Japan, China and Korea. RCEP will

support improved Australian trade with a group of countries which accounts for almost half

the worlds population and 60 per cent of Australian exports of agricultural, fisheries and

forestry products.

References

1. en.wikipedia.org/wiki/IndiaRussiarelations2. commerce.nic.in/indiarta.htm3. www.unescap.org/tid/projects/globalizewgmarc.pdf

http://en.wikipedia.org/wiki/United_Nations_Security_Councilhttp://en.wikipedia.org/wiki/United_Nations_Security_Councilhttp://en.wikipedia.org/wiki/SAARChttp://en.wikipedia.org/wiki/SAARChttp://en.wikipedia.org/wiki/United_Nations_Security_Council