(Pooja Dubey, Intern Journalist) Preparations for the signing of the Regional Comprehensive Economic Cooperation Partnership (RCEP) next Sunday are almost complete. After a long wait for India, it has finally become agreed among the rest of the member countries involved in this agreement that there is no point in waiting longer. India last year refused to join the deal at the last minute.
India complained that due to this deal, milk products from Australia and New Zealand would hit the Indian market, which would harm farmers. Another concern of India was about the opening of the doors of the Indian market to goods made in China. This would have increased India’s trade deficit with China.
The RCEP agreement still covers almost as many countries, whose GDP is equal to one-third of the world’s GDP. Although the agreement began to form the backdrop from 2013, the effort gained momentum after Donald Trump became president. Trump had separated the US from the Trans-Pacific Partnership (TPP) to be held in the era of Barack Obama.
If that agreement were reached, the way for free trade with the ASEAN countries from the US would be opened. After the US pulled back, RCEP’s plan was introduced at the initiative of China and ASEAN countries. Now ten countries of ASEAN (South-East Asian Nations), China, Japan, Australia and New Zealand are joining this agreement.
This agreement is being seen as a major success of China. This will be the first time that Japan will enter into any free trade agreement, including China. Japan’s largest trade partner South Korea is also joining it. The member countries of ASEAN include Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam.
The 37th summit of ASEAN countries begins on November 9. During this virtual conference, Vietnam is chaired by ASEAN this time. This conference will conclude on November 15, on which RCEP will also be signed. ASEAN countries have said that the doors are open for India to join this agreement. He can join it whenever he wants.
About Post Author
