INDIA-SINGAPORE COMPREHENSIVE ECONOMIC
COOPERATION AGREEMENT – DECLARATION OF INTENT TO BE SIGNED TODAY
INDIA’S
EXPORTS TO SINGAPORE UP BY 70%
A Declaration
of Intent for the India-Singapore Comprehensive Economic Cooperation
Agreement (CECA) is scheduled to be signed later this evening
by Shri Arun Jaitley, Union Minister of Commerce & Industry
and Law & Justice and Mr. George Yeo, Minister of Trade &
Industry, on behalf of Government of India and the Government
of Singapore respectively.
The Joint Study Group
(JSG) established by the Prime Ministers of India and Singapore
on 8th April, 2002 to study the benefits of an India-Singapore
Comprehensive Economic Cooperation Agreement (CECA) has finalised
its report. Keeping in view the potential benefits of enhanced
economic cooperation JSG has recommended the following: (a) A
bilateral free trade agreement (FTA) between the two countries,
covering both trade in goods and trade in services; (b) A bilateral
investment agreement for promotion and protection of investment;
and (c) Enhanced bilateral cooperation in areas of specific interest
to both the countries. These could include customs cooperation,
joint development of tourism, cooperation in civil aviation, infrastructure
development, information technology, media, creation of a Joint
India-Singapore Fund for investment promotion, review of the existing
bilateral Double Taxation Avoidance Treaty, etc.
During the current
period (April-November 2002-03), India-Singapore Bilateral Trade
at US $ 1948.89 million registered a growth of 29.47% over the
corresponding period last year with exports to Singapore at US
$ 1036.61 million (growth 70.13%) and imports at US $ 912.28 million
(growth 01.82%).
Singapore is India’s
largest trading partner in the ASEAN region, accounting for about
29% of India’s total trade with the countries in this region and
accounted for 28% of India’s exports to and about 30% of imports
from ASEAN (2001-02). In terms of India’s global trade, the share
of Singapore is 2.4%. India has traditionally had adverse balance
of trade with Singapore except for the current year period (April-November)
which witnessed export growth of 70%.
