|
| 'Certain issues' hinder Indo-Asean agreement |
| Devjyot Ghoshal / Kolkata Nov 20, 2009, 00:30 IST |
|
Despite India pushing for an early conclusion of negotiations of the proposed regional trade agreement in services and investment with the Association of Southeast Asian Nations (Asean), certain issues regarding investments could hinder the rapid conclusion of the accord, representatives of two Asean member-states have indicated.
In August this year, India and the 10-member Asean trade bloc signed a free trade agreement (FTA) in goods under which both parties will lift tariffs on more than 80% of traded products between 2013 and 2016. Subsequently, negotiations have started over a services and investments agreement which is expected to be concluded by the end of 2010.
While reaching an agreement over the services sector was likely to be devoid of major complications, building consensus over investments could be a more protracted process, Minister Counsellor (Economic Affairs), High Commission of Malaysia, Muthafa Yusof said.
“Although there is a question of political will involved, there have been certain requests from Asean member countries in the investments area. Since these requests will have to be reviewed and responded to, it could take some time,” he said on the sidelines of a CII-IIFT seminar here recently.
However, Yusof, who has previously worked with the Asean Economic Cooperation Division of Malaysia's Ministry of International Trade and Industry, said that leaders from both sides were eager to conclude the process. Philippines' Commercial Attache Vichael Roaring, too, said that although senior leaders of Asean member-states had made assurances towards an early completion of the accord, some issues were yet to be ironed out. “Building consensus can be difficult sometimes because the talks involve India and 10 member-states. The perspective of each state must be addressed,” Roaring said.
In particular, India's reluctance to significantly open up certain areas of its economy, including the banking and financial sectors, was a point of contention, a source said.
|
|
|
|
|
|
|
|
|
|
 Read Business news in |  |
|
|
|
|
|
|
Advertisements |
|
|
|
|
|
|
|
|
|
|
Content Guide
