3 Trade Pacts to be Rolled out by Govt in 6 Weeks

• India to roll out 3 FTAs with UK, Oman, New Zealand
• Agreements aim to boost exports and market access
• Signals faster, strategic expansion of global trade ties

India is ready to implement three big free trade agreements (FTAs) very soon, actually within six weeks, which is a step change in the country's global trade plans and making efforts to get more trade partners internationally. The new trade deals with Oman, United Kingdom, and New Zealand will open up markets and make trade relations more robust.

This move coincides with India stepping up its efforts to open up more to the world markets as the geopolitical trade scenarios and change. Trade Minister Piyush Goyal said that the deal with New Zealand might be signed by the last week of April, and the agreement with Oman could take effect from 1st May. The trade agreement with the UK is also likely to be enforced within four-to-six weeks.

The FTAs are a stepping stone to getting cheaper tariffs, increasing exports, and having a varied basket of trade partners. India is also looking carefully at what is happening in the United States especially regarding tariffs because once things are clear the country wants to have the best trade terms.

Also Read: India Plans 5,000 Tonnes Rare Earth Magnet Capacity by 2030

The introduction of these agreements is a clear reflection of India's changing trade policy that is progressively focusing on quicker implementation along with targeted economic engagements. Over the past few years, the country has been actively working to enlarge its network of FTAs so as to be able to strengthen supply chains, increase exports, and draw in investments.

The after signing these agreements doors will be opened for a huge variety of people to get support from the government which is their primary sector from manufacturing, services and agriculture to trade. Also, the costs involved in the process of cross-border trade will be minimized.

From a strategic point of view, the quick implementation of various FTAs at the very beginning is a clear indication of India's intention to become a significant player in the world market at the time when the levels of protectionism and supply chain reconfiguration are going up.

Through building relationships with a variety of economies, India's strategy is to lower the reliance on a few markets and establish a more even and strong trade environment. As a whole, this step is an indication of positive and active changes with the focus on rapid execution of FTAs. It is also a means of showing India's long term plan of increasing its presence in the world economy and making different sectors more competitive.