India, South Korea review free trade agreement

On Friday, Nirmala Sitharaman had said that both the countries should do everything to further strengthen the CEPA

India and South Korea on Saturday reviewed their free trade agreement (FTA), with a view to further strengthen bilateral economic ties.

The comprehensive economic partnership agreement (CEPA) between the two countries was implemented in January 2010.

According to an official, the review meeting was attended by Commerce and Industry Minister Nirmala Sitharaman and her South Korean counterpart Hyunghwan Joo.

Officials of both the countries were also present in the meeting.

On Friday, Sitharaman had said both the countries should do everything to further strengthen the CEPA.

The review meeting was important as South Korea, with which India had trade deficit of about $10 billion in 2015-16, has sought widening of the scope of agreement by including more products such as machinery and certain kinds of steel products under the pact.

The bilateral trade between the countries stood at $16.59 billion in 2015-16. The trade is highly in favour of Korea. Meanwhile, the two countries also launched a platform, Korea Plus,  to promote and facilitate investments from the east Asian country. “It is a special initiative to promote and facilitate Korean Investments in India,” the commerce and industry ministry said in a statement.

Korea Plus comprises a representative each from the South Korean ministry of industry, trade and energy and Korea Trade Investment and Promotion Agency (KOTRA). Besides, it includes three officials from Invest India.