The Comprehensive Economic Partnership Agreement (EFCA) is a free trade agreement between India and South Korea. [2] The agreement was signed on August 7, 2009. [3] The signing ceremony took place in Seoul and the agreement was signed by Indian Trade Minister Anand Sharma and South Korean Trade Minister Kim Jong-Hoon. [4] Negotiations lasted three and a half years, with the first meeting taking place in February 2006. The agreement was adopted by the South Korean Parliament on 6 November 2009. [5] It was passed in the Indian Parliament next week. [2] Following its adoption, the agreement entered into force sixty days later, on 1 January 2010. [6] It corresponds to a free trade agreement. [2] The agreement will provide better access to India`s services industry in South Korea. Services include information technology, engineering, finance and the legal sector.
[7] For South Korean car manufacturers, tariffs will be reduced to less than 1%. [8] Meanwhile, Korean companies flooded India with cheaper imports of raw metals, steel and finished products. South Korea has also made efforts to develop trade in the region. The South Korean government has signed a free trade agreement with Indonesia; concluded new trade agreements with Cambodia, Malaysia and the Philippines; and initiated talks on improving trade agreements with ASEAN and India. Policymakers have also prioritized a stronger focus on development cooperation in the region, and Seoul has pledged to double project funding in Cambodia, Indonesia, Laos, Myanmar, the Philippines and Vietnam by 2023. In January 2005, the two sides formed a joint task force to assess the feasibility of a free trade agreement between the two countries. Over the next four years, the Joint Task Force reviewed the $7.1 billion in existing trade between the two countries and negotiated an agreement that took into account the weaknesses and economic strengths of the two countries` markets. Rahul Khullar, India`s minister of commerce and a member of the Joint Study Group, argues that such cooperation has taken place during discussions on the agricultural sector, which is particularly weak in South Korea but thriving in India.
[10] The Republic of Korea is a member of the World Trade Organization (WTO) and has signed sub-agreements, including TRIPS (Trade-Related Aspects of Intellectual Property) and the Agreement on Government Procurement. Korea has been a member of the Organisation for Economic Co-operation and Development (OECD) since December 1996. The agreement for South Korea joins a long list of existing bilateral and multilateral free trade agreements created under Korean President Roh Moo-hyun. [3] As for India, the negotiations coincided with the Look East initiative of outgoing Indian Prime Minister Manmohan Singh, which promised greater regional integration between India and East Asian markets. The agreement will ease restrictions on foreign direct investment. Companies can own up to 65% of a company in the other country. [8] Both countries avoided problems in agriculture, fisheries and mining and chose not to reduce tariffs in these areas. This was due to the very sensitive nature of these sectors in the respective countries. [9] Trade between India and South Korea amounted to $15.6 billion in 2008.
This is a significant increase from 2002, when total trade was $2.6 billion. [3] The Korea Institute of International Economic Policy estimates that the agreement will increase trade between the two countries by $3.3 billion. [2] Describes the trade agreements in which this country participates. Provides resources for U.S. companies to obtain information on the use of these agreements. As long as the quad continues to avoid shaking the boat too much with Beijing, Seoul will likely continue to work together on shared priorities – although South Korea does so through bilateral coordination with the US rather than joining the quad itself if the opportunity to join it arises. To this end, the policy focuses on deepening South Korea`s economic, political, strategic and socio-cultural cooperation with India and ASEAN members. Although South Korea has maintained close relations in the region for many years, the NSP is Seoul`s first major diplomatic framework to improve relations with Southeast Asia and India. The South Korean economy has quickly realized the great potential of the Indian market with 1.2 billion people and a middle class of 300 million people with excellent purchasing power.
India`s demand for a wide range of goods and services is growing rapidly, driven by steady GDP growth of around 8% over the past five years. India`s GDP will reach $2 trillion by the end of the year. India is expected to be the 3rd largest economy in the world by 2030. The Republic of Korea and the United States named Korea and the United States. Free Trade Agreement of March 15, 2012 (amended september 2018). It is the largest free trade agreement (FTA) negotiated by the United States since NAFTA. For more information on the KORUS FTA, please visit the USTR and the FTA Help Center. The initial impact of CEPA has been very encouraging. .
