India Eyes 75% Global Trade Coverage with New FTAs
By ThePip Desk
India is negotiating 8-9 new trade pacts to cover 75% of global trade, aiming to boost its role in value chains and tap into $15 trillion GDP markets.
Commerce and Industry Minister Piyush Goyal announced India is actively negotiating free trade agreements with 8-9 additional country groups and individual nations. These discussions aim to significantly expand India’s global trade footprint, with an eventual goal of covering approximately 75% of worldwide commerce.
The minister highlighted that these new agreements target economies collectively representing an additional $15 trillion in Gross Domestic Product (GDP). This strategic expansion is designed to solidify India’s position as a reliable and trusted partner within global value chains.
India’s Growing FTA Portfolio
India has demonstrated a proactive approach to trade liberalization in recent years. The country has signed a remarkable nine free trade agreements within the last four years, opening its large domestic market to the world.
- These nine recent agreements collectively encompass economies with a combined GDP of $60 trillion.
- They also involve 38 developed countries, broadening India’s economic partnerships.
- Older trade pacts with key partners such as Japan, Korea, and the ASEAN region have already contributed by opening an additional $10 trillion of GDP for trade.
Minister Goyal is currently in Japan, leading a substantial business delegation comprising over 200 representatives. His visit aims to bolster the trade and investment ties between India and Japan.
Boosting Bilateral Investment and Trade
During his engagements, Goyal underscored vast opportunities for foreign investments within India. Specific sectors identified for growth include data centers, advanced manufacturing, and artificial intelligence. He further stated that stronger economic ties should ultimately lead to more balanced trade relations between India and Japan.