Piyush Goyal Urges Review of FTA Negotiations Amongst BIMSTEC Nations

Union Commerce and Industry Minister Piyush Goyal has called for a review of Free Trade Agreement negotiations among BIMSTEC nations. He highlighted existing barriers impacting negotiations and emphasized the need for cogent recommendations for progress. Amid political unrest in Bangladesh, the BIMSTEC Business Summit stressed expanding cooperation and FTA finalization.

Union Commerce and Industry Minister, Piyush Goyal, has urged a comprehensive review of the Free Trade Agreement (FTA) negotiations among the BIMSTEC nations. Speaking on Wednesday in New Delhi, Goyal highlighted the prolonged negotiation process, suggesting a re-evaluation of the current approach. 'I heard somebody say, 22 rounds of negotiations have happened so far, that itself gives us a question mark, whether we need to pause and have a relook at the track we are going down on,' he stated.

The minister pointed out potential barriers affecting the negotiations, including both tariff and non-tariff obstacles that hamper normal trade. 'There must be something holding the countries back,' Goyal remarked, calling for a deeper examination of these impediments.

Goyal also emphasized assessing the impact of other regional FTAs on the BIMSTEC discussions. He urged member countries to develop 'cogent recommendations' to advance the negotiations. Amid political instability in Bangladesh, the two-day BIMSTEC Business Summit in New Delhi highlighted the need for broader cooperation. The Confederation of Indian Industry (CII) recommended finalizing the FTA, noting its potential to boost investments, job creation, technology partnerships, and services.

The CII paper further recommended easing FDI restrictions, improving energy collaborations, and developing agricultural technology transfer agreements. Additionally, it stressed increasing regional cooperation in tourism, technology transfer facilities, and enhancing transport connectivity among BIMSTEC states. With a combined population of 1.7 billion, BIMSTEC nations possess significant potential to impact the global economy. The region's current GDP stands at approximately $4.5 trillion, with prospects for accelerated growth through stronger economic integration.

(With inputs from agencies.)