India and ASEAN bloc reviewed the bilateral trade and investment relations between India and ASEAN. Both sides underscored their commitment to strengthen and enhance the economic partnership during the economic ministers’ meeting in Indonesia.
20th ASEAN-India Economic Ministers’ meeting was held on August 21, 2023, in Semarang, Indonesia.
In the meeting, participants exchanged views on the regional and global challenges, such as the multidimensional impact of the COVID-19 pandemic, climate change, heightened volatility in the global financial market, inflationary pressures, and geopolitical tensions.
India and ASEAN bloc identified resilient supply chains, food security, energy security, health and financial stability as priority areas of cooperation.
The main agenda of this year’s meeting was the timely review of ASEAN-India Trade in Goods Agreement (AITIGA) which was signed in 2009. The review of the AITIGA was a long-standing demand of Indian businesses and the early commencement of the review would help in making the FTA trade facilitative and mutually beneficial. The decision for review of AITIGA will now be placed in the forthcoming India-ASEAN Leaders’ Summit scheduled in early September for further guidance.
It is noteworthy, India and ASEAN registered a bilateral trade of USD 131.5 billion in 2022-23. The trade with ASEAN accounted for 11.3% of India’s global trade in 2022-23.
The Economic Ministers or their representatives from all 10 ASEAN member countries, including Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam, actively participated.
ASEAN is a regional organization which was established to promote political and social stability amid rising tensions among the Asia-Pacific’s post-colonial states. ASEAN commands far greater influence on Asia-Pacific trade, political, and security issues than its members could achieve individually. India’s relationship with ASEAN is a key pillar of her foreign policy and the foundation of Act East Policy.