ASEAN (Association of Southeast Asian Nations) is an important market for Indian industry; the FTA would give us access to a trillion dollar economy, said Chandrajit Banerjee, Director General, CII Thursday in New Delhi.
Currently the bilateral trade between India and the ten-nation ASEAN is way below its true potential. Now both sides have set an bilateral trade target of $ 50 billion by 2010.
"We are confident that the elimination of tariffs on nearly 80% of the traded goods would go a long way in boosting bilateral trade ties between the two regions", said Banerjee.
Refined petroleum products, organic chemicals, pharmaceuticals, gems & jewellery, metal scraps, which are among India's major exports to ASEAN are likely to be the major gainers from the FTA.
The successful ratification of the India - ASEAN FTA in goods would send a positive signal for eventual establishment of a Comprehensive Economic Cooperation Agreement (CECA), towards which both India and ASEAN are committed, said Banerjee.
"Gains from India - ASEAN FTA in goods are only a small part of the total gains. Indian businesses are looking forward to a successful conclusion of the services and investment agreement in which negotiations are at an initial stage. Ambitious offers by ASEAN are necessary to ensure a balanced outcome", he said.
