Indian Updates
India and Oman hold the fifth round of negotiations for the India - Oman CEPA
India and Oman held trade negotiations to discuss market access provisions on request by Oman. The key interest for India lies in petroleum products and urea from Oman. India is also set to benefit from tariff reduction in sectors such as iron and steel, and electronics and machinery under the CEPA, which is getting closer to being finalised.
India - EU free trade agreement negotiations expected to resume
Indian delegates recently met with the delegation from the European Union for advancing trade discussions over the long-awaited India-EU trade Agreement. India continues to be in favour of settlement of issues concerning labour and climate change on international forums, and has taken a firm stand on maintaining protection to the Indian dairy sector and small-scale farmers.
Global Updates
Thailand and the EFTA sign a free trade agreement
Thailand has signed a free trade agreement with the European Free Trade Association (EFTA), consisting of Norway, Iceland, Switzerland and Liechtenstein. Upon its implementation, 83% of the exports from the EFTA to Thailand are expected to become tariff-free. Over the next 15 years, tariffs would be eliminated for 99.8% of exports from the EFTA. Meanwhile, Thai exports of gems, jewellery, steel products and cosmetics are set to benefit from the Agreement.
Kenya and the United Arab Emirates sign a Comprehensive Economic Partnership Agreement
Kenya and the United Arab Emirates have signed a Comprehensive Economic Partnership Agreement (CEPA), in an attempt to boost trade and investment between the two countries. In terms of exports from Kenya, the major sectors that are likely to benefit include meat and meat products, pineapples, avocados and mangoes. The UAE, on the other hand, is expected to enjoy greater market access for petroleum, machinery and chemicals. The CEPA also deals with the issues of services, technological innovation, digital trade, and sustainability.
New Zealand and the United Arab Emirates sign free trade agreement
The United Arab Emirates and New Zealand have signed a free trade agreement. This is the first trade agreement with a country in the Gulf region for New Zealand. The Agreement is expected to benefit New Zealand in terms of doubling its exports in ten years. Duties on 98.5% of exports from New Zealand are expected to be eliminated upon implementation of the Agreement. This share will later increase to 99% in the subsequent three years.
The United Arab Emirates and Malaysia sign Comprehensive Economic Partnership Agreement
The United Arab Emirates and Malaysia have signed a Comprehensive Economic Partnership Agreement in order to boost private sector bilateral trade and highgrowth sectors. For trade in goods, the Agreement is expected to reduce and eliminate tariff, enhance trade facilitation and provide greater market access to both sides.
Free Trade Agreement between Korea and the Philippines comes into effect
The Korea – Philippines Free Trade Agreement has entered into force on 31st December 2024. The Agreement eliminates duties on Korean exports of electric vehicles and automotive parts, along with consumer goods such as stationery, processed foods, and home electronics. The Agreement also aims to enhance collaboration on mart farming, smart cities, and renewable energy sectors.
Kazakhstan ratifies the EAEU – Singapore FTA into its national law
Kazakhstan, a member of the EAEU, has ratified the free trade agreement with Singapore. With its implementation, Kazakhstan has reduced imports duties on 40% of imports from Singapore. On the other hand, Singapore has committed to eliminate duties on all imports from the EAEU nations.
China-Maldives Free Trade Agreement takes effect
China and Maldives have issued a joint statement announcing the implementation of a free trade agreement on 1st January 2025. The Agreement aims to liberalise and facilitate trade in investment between the two countries to assist businesses. The exports of ships, electrical equipment and furniture from China are expected to benefit from the Agreement. Further, exports of aquatic products from Maldives to China are also expected to enjoy tariff eliminations.
Revised Protocol for China-Singapore Free Trade Agreement comes into effect
The China-Singapore Free Trade Agreement Upgrade Protocol has entered into force on 31st December 2024. With the implementation of the Protocol, both countries have successfully enhanced the degree of trade cooperation by committing to further market access obligations in service and investment sectors. The Upgraded Protocol will also expand into the segment of digital trade.
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