India, Japan agree to promote financial cooperation and strengthen bilateral ties

India and Japan have agreed to enhance financial cooperation and strengthen bilateral relations during the second India-Japan Finance Dialogue in Tokyo. Key discussions included macroeconomic situations, financial sector issues, and regulatory matters. Both sides plan to continue these discussions and explore holding the next round in New Delhi.

India is revising free trade agreements with South Korea, Malaysia, and ASEAN countries to benefit domestic industries. Union Minister Jitin Prasada highlighted the importance of these revisions at the ACMA annual session. He also emphasized the need for increased investment in R&D and boosting exports while reducing import dependence.

World Bank’s latest India Development Update suggests India reconsider its stance on plurilateral trade deals, particularly joining the Regional Comprehensive Economic Partnership (RCEP). The report argues that India’s growth could benefit from increased participation in global value chains, despite concerns about Chinese competition and past reluctance to engage in such agreements.

India’s steel imports surged by 26.5% to nearly $7.3 billion during May-July 2024, according to the steel ministry’s Steel Import Monitoring System. Top product categories included stainless-steel flats, ingots, and hot rolled coils. China, Norway, and Indonesia significantly increased their exports to India during this period.

India plans to extend its sugar export ban for a second year due to lower cane output. The government also aims to increase ethanol procurement prices to boost biofuel supplies. This move could tighten global sugar supplies and raise prices, especially with Brazil’s production expected to drop.

The India Middle East Europe Economic Corridor (IMEC) will enhance maritime security and reduce New Delhi’s reliance on specific routes, according to commerce minister Piyush Goyal. Speaking at the India Mediterranean Business Conclave 2024, he highlighted the potential for collaboration in tourism, renewable energy, and other sectors between India and Mediterranean countries.

India is reviewing its trade agreement with Malaysia due to a rising trade deficit, which has doubled since 2011. The review will focus on rules of origin and non-tariff barriers. Major exports include petroleum products and aluminium, while key imports are vegetable oils and electronics. Consultations with industry sectors are planned.

Indian exporters are preparing for the European Union’s new deforestation regulation (EUDR), which mandates that products exported to the EU must come from land not deforested after December 31, 2020. The regulation impacts various sectors, including coffee, cocoa, soya, wood products, rubber, and leather goods, and imposes fines up to 4% of annual turnover and […]

The Swiss government has submitted its proposed free trade agreement with India to parliament, aiming to boost Swiss exports. The deal, involving the European Free Trade Association, includes lifting import tariffs on industrial products in exchange for $100 billion investment over 15 years. Parliamentary approval is pending.

Singapore has invested $150 billion in India and plans to invest five times more. Commerce Minister Piyush Goyal announced this at the All India Industries and Commerce Ministers conference. India also signed a free trade agreement with EFTA, securing a $100 billion investment commitment over 15 years.