Comprehensive Economic Partnership Agreement Between India And Korea

December 5th, 2020| Posted by admin
Categories: Uncategorized | Tags:

The Comprehensive Economic Partnership Agreement (CEPA) 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] The negotiations lasted three and a half years and the first meeting took place in February 2006. The agreement was adopted by the South Korean Parliament on 6 November 2009. [5] It was passed next week by the Indian Parliament. [2] After its adoption, the agreement came into force sixty days later, on 1 January 2010. [6] This is a free trade agreement. [2] The agreement will allow the Indian service industry in South Korea to have better access. Services include information technology, engineering, finance and the legal sector.

[7] In South Korea, tariffs are reduced to less than 1%. [8] All this time, Korean companies have flooded India with cheaper imports of raw metals, steel and finished products. India and South Korea now have an urgent need to give economic impetus to their economies. Improving reciprocal trade and investment opportunities can meet this need. The 2010 Comprehensive Economic Partnership Agreement (CEPA) can be the linchpin of this task. An indocornant trade and economic relationship alone may not be able to eliminate many economic bottlenecks in these economies. However, a bilateral platform can provide India and South Korea with their concerns. The EPA can be the ideal platform for resolving disputes and establishing a sustainable economic and trade partnership in the future. In the current turbulence scenario, this will be the way forward for these two economies. In the second quarter of 2019, South Korea`s economy recovered from a relatively poor development in the first quarter, mainly due to the influx of government spending.

Private sector investment remained below, reflecting the fact that public investment encouraged expansion in the second quarter of 2019. [3] Volatile trade tensions with Japan are also hampering South Korea`s economic progress. The development of a mutually beneficial trade and economic relationship between India and South Korea will undoubtedly help economies that must now find urgent economic impetus. But both economies have their own problems to solve, structurally and in favour of development.

Comments are closed.