Civil society groups flag concerns on impact of regional trade pact with APAC

NEW DELHI: Experts, academics and researchers have flagged concerns on India’s participation in a regional trade agreement with 15 countries in the Asia Pacific region.

Apart from India not gaining much in export of goods and services from the Regional Comprehensive Economic Partnership (RCEP) agreement, they highlighted inclusion of new issues like e-commerce and investment as being detrimental to the country.

Agreeing to RCEP’s drastic cuts in import duties will not only impact livelihoods, but also deprive the government of crucial revenues for the provision of public services, they said.

“There is singular focus on market access. India should not take a backseat while others set the agenda for the talks,” said Biswajit Dhar, professor at JNU at a conference here.

As per Dinesh Abrol, scientist and professor, there will be no gains for India in export of goods and services.

The civil society groups flagged their concerns as the 19th round of RCEP negotiations began in Hyderabad. While the subject-wise Working Groups formed under the RCEP are meeting this week, the high-level Trade Negotiation Committee (TNC) with chief negotiators from 16 countries will have discussions from 24-28 July. 700 officials from the 16 negotiating countries – ASEAN 10 plus ASEAN’s six FTA partners including India, China and Australia, Japan, South Korea and New Zealand, are gathering to negotiate the RCEP.

Another concern with respect to RCEP is the insertion of ‘new’ content like that on investment and e-commerce in the negotiations.

They fear that RCEP will further empower corporations at international arbitration tribunals as the proposed investment chapter in RCEP allows for investors to sue governments, while bypassing domestic courts.

“India is already the target of 40% of all cases filed against RCEP countries,” said Benny Kuruvilla from the Transnational Institute (TNI), citing a report that will be released in Hyderabad.