Commerce and Industry Minister Piyush Goyal has called upon ASEAN bloc to do away with the Non-Tariff Barriers (NTBs). He also called for curbing the misuse of Free Trade Agreements by third parties often outside the ASEAN Region. Mr Goyal was addressing the Special Plenary with the trade ministers of the Region – Indo-ASEAN Business organized by the Confederation of Indian Industry.

Mr Goyal said it is unfortunate that in the recent past, India had to deal with several restrictive barriers on the exports to the ASEAN region, particularly in the Agriculture and Auto sector. He said these restrictions only result in reciprocal action from other countries including from India and will hurt the long term desire to expand trade between the two countries. Mr Goyal also called upon the ASEAN Bloc to allow reciprocal FTA concessions to imports from India to correct the skewed trade imbalance in favour of the ASEAN.

India has currently been witnessing exponential growth in imports from the ASEAN Region while its exports have been impeded by non-reciprocity in FTA concessions, NTBs, import regulations, quotas and export taxes from ASEAN countries.

The Minister said the current trade of about 80 Billion dollars makes Indo-ASEAN region one of the largest trading areas globally. Despite increasing trade India is short of the target of 200 billion dollars, which India and ASEAN were to achieve by 2022. Mr Goyal reiterated the importance for fair, equitable, transparent, reciprocal and inclusive trade rather than enhancing trade through tariff reductions.