: India's exit from RCEP won't affect it economically: Expert #FinanceIndia #StockMarketNEWS India's exit from RCEP won't affect it economically: Expert New Delhi, Nov 19 (KNN) As New Delhi chose

@StockMarketNEWS Thu 19 Nov, 2020

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India's exit from RCEP won't affect it economically: Expert #FinanceIndia #StockMarketNEWS
India's exit from RCEP won't affect it economically: Expert New Delhi, Nov 19 (KNN) As New Delhi chose to stay away from the much debated Regional Comprehensive Economic Partnership (RCEP) trade deal fearing that it would have had “negative consequences” on the Service, Agriculture and Dairy sector etc., there were speculations that it would affect India economically.

Reportedly, during an online conversation on India-EU relations organised by the Centre for European Policy Studies, Minister of External Affairs (MEA) S Jaishankar on Wednesday said that India had indicated its concerns with RCEP at the East Asia Summit a year ago because a number of key concerns had not been addressed during the prolonged negotiations for the trade deal.

While speaking to KNN India, Yogendra Kapoor, an Economist as well as Tax Expert, on Thursday said, It will not affect India economically, if bilateral Free Trade Agreement (FTA) are reviewed with RCEP countries to benefit mutually.

India can always invite foreign investment in its projects to set up units in manufacturing that can cater to domestic consumption and act as a global delivery centre by creating an ecosystem that promotes availability of land at concessional rates in states, single point time bound approval from authorities for projects, Infrastructure development, Reduce processes for compliances, Availability of credit at concessional rates for Viable projects and Labour reforms so that hire and fire decisions can take place without interference from any quarter, he added.

The 10 member states of the Association of Southeast Asian Nations (ASEAN) and Australia, China, Japan, New Zealand and South Korea signed RCEP on Sunday. Japan led the drafting of a ministers’ declaration that left the door open for India to join the world’s largest trading bloc, covering nearly a third of the global economy, at a later stage.

India opted out due to its fundamental issues not being addressed relating to - Advantages to its services sector and interest of industries like agriculture and dairy, protection through increased tariffs against surge in its imports, circumvention on rules of origin, dumping of cheap products into India and excluding Most-favoured-nation (MFN) obligations to countries with which India has border disputes.

The purpose of RCEP was to make it easier for products and services of each of these countries to be available across this region. Negotiations to chart out this deal had been on since 2013, and India was expected to be a signatory until its decision last November.

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