FTAs will have to be a two-way traffic, says Piyush Goyal

Free trade agreements (FTAs) are a two-way traffic and not opening up India’s markets may affect the proposed trade deals, commerce minister Piyush Goyal said at a Confederation of Indian Industry (CII) meeting.

“FTA will have to be a two-way traffic. FTAs can’t happen with our demands for opening their markets and not giving any markets in India access to their investments,” Goyal said at CII’s ‘Journey Towards Viksit Bharat: A Post Union Budget 2024-25 Conference’.

“I urge your cooperation to help us move faster on FTAs on quality control orders which will also help you to get better market share and ensure that substandard products don’t flood the markets,” he added.

Goyal said India took a bold decision to walk out of the Regional Comprehensive Economic Partnership (RCEP) as it was never a good decision to be a part of those negotiations.

The RCEP was conceived at the 2011 ASEAN Summit in Bali, Indonesia, while talks formally launched during the 2012 ASEAN Summit in Cambodia.

India took part in the initial negotiations but later decided to opt out.

Goyal said India avoided becoming a sales hub for cheap Chinese imports by exiting RCEP.

The minister also urged industry to provide inputs on ways to reduce compliance burdens, processes and procedures and urged them to make use of the ₹1 tillion ‘Anusandhan Fund’ for private-sector driven research and development.

The gvernment is setting up 12 industrial parks across the country and has 5-6 mega textile parks lined up, Goyal said, adding that Indian investors should be forthcoming in supporting startups and small businesses by utilizing benefits provided by the government.

“Let’s be the change and make the difference we want to see in India,” he said.