The India-Singapore Comprehensive Economic Cooperation Agreement: An Appraisal of Progress
Published By: Research and Information System for Developed Coun | Published Date: 2017The Comprehensive Economic Cooperation
Agreement (CECA) between India and
Singapore came into effect on 1st August
2005. It was the first such comprehensive
FTA signed by India with any country
covering trade in goods, trade in services
and investment. This study seeks to appraise
the progress in the implementation of CECA
at a time when the second review of the
agreement which began in 2010 still remains
inconclusive.
The study maps out the trend in
India’s bilateral merchandise exports which
showed an upward climb in the initial
years after CECA but which has in recent
years declined. Sector and product level
analysis brings out the competition at play
from other trading nations. Since Singapore
has zero MFN duties for practically all
the goods, tariffs play no part in the
competition. Significant efforts will be
needed by Indian exporters to stabilise and
strengthen export prospects in potential
areas that have been outlined in the study.
Promoting an environment that will help
India to acquire a greater role in supply
chain arrangements in the Asia Pacific
region will also be important.
Imports from Singapore into India are
examined in the context of not only CECA
duty concessions but also on account of
the tariff reductions under India-ASEAN
FTA of which Singapore is a signatory.
Singapore’s re-export of products of third
country origin have also been tracked to
better understand their role. A rapidly
growing India could see more imports in
the future of products from certain industry
segments where Singapore has developed
considerable strengths and competitiveness
Author(s): V. S. Seshadri | Posted on: Aug 02, 2017 | Views() | Download (163)