India for early ratification of FTA on services with ASEAN

India today pitched for early ratification of its long-pending free trade agreement on services and investment with 10-nation ASEAN, considered one of the world's fastest growing regions, to pave way for deeper trade and investment between the two sides.
External Affairs Minister Sushma Swaraj conveyed this to Foreign Affairs Secretary of Philippines Albert F Del Rosario during the third India-Philippines Joint Commission meeting in which both sides decided to step up cooperation in areas of defence and security, intelligence sharing, shipping, trade, and pharmaceuticals among others.
Favouring deeper trade between India and Philippines, the External Affairs Minister also called for review of Double Taxation Avoidance Agreement (DTAA) between the two countries to strengthen provision to curb tax evasion.

Swaraj raised the issue of India-ASEAN FTA on services and investment and pushed for its early ratification. Except Philippines, all ASEAN member countries have signed the pact, which will come into effect only after all members sign it.
India had signed a free trade agreement (FTA) in goods with ASEAN in 2009. It was keen on the services deal as it did not gain much from the pact on goods due to already lower tariffs in the region. New Delhi feels the services deal will help it reduce the trade deficit with the bloc.
In the meeting, Rosario briefed Swaraj about the situation in the South China Sea to which the External Affairs Minister said India was for a peaceful resolution of the dispute. Philippines, a major country in the western Pacific Ocean, has major disputes with China over South China Sea.

"Both sides reiterated the importance of the settlement of all disputes by peaceful means and of refraining from the threat or use of force, in accordance with universally principles of international law," a joint statement issued after the meeting said.

The two sides affirmed their shared commitment to fight terrorism in all its forms and manifestations and reiterated their resolve to expand and deepen cooperation to counter it.
Swaraj and Rosario agreed to the early convening of the Joint Working Group on Counter Terrorism in New Delhi to discuss all issues related to terrorism and other transnational crimes.
The two leaders also agreed to step up engagement in a wide range of areas including defence production, trade and investment, tourism, agriculture, health and renewable energy.

On the South China Sea dispute, the two sides underlined the importance of safeguarding the freedom of navigation and overflight in the South China Sea and reiterated the importance of an expeditious conclusion on a Code of Conduct.