12 months ago
EAC-PM Member Urges Tariff Reduction to ASEAN Levels
An advisor to the Indian government suggests India should lower its import taxes to match those of ASEAN countries.
He thinks this will help India trade better with other countries.
He also says India should join big trading groups like RCEP and CPTPP.
This would help India be part of the global trade system.
He explained that when India reduced taxes in the past, it made the rupee weaker to help businesses.
EAC-PM member Rakesh Mohan advocated for reduced import duties.
He suggests lowering tariffs to match ASEAN levels.
Mohan emphasized the importance of joining global trade blocs.
He pointed out the need for the rupee to adjust to tariff changes.
India should consider joining RCEP and CPTPP to increase global trade.
- Who
- Rakesh Mohan, EAC-PM member
- What
- Advocated for lowering import duties to ASEAN levels
- Where
- New Delhi
- When
- Thursday
- Why
- To boost India's competitiveness in global trade and integrate with major trade blocs.
Status Quo
EAC-PM Member
Economic Impact
Status Quo
Continued current tariff rates
EAC-PM Member
Lower tariffs to enhance global competitiveness.
Integration with Trade Blocs
Status Quo
Not specified
EAC-PM Member
Join RCEP and CPTPP.
Key facts
- Proponent
- Rakesh Mohan, EAC-PM member
- Proposed Action
- Reduce import duties to ASEAN levels
- Trade Blocs Mentioned
- EU, USMCA, RCEP, CPTPP
- India's Tariff History
- Reduced until 2012, increased after 2017
Quotes
Rakesh Mohan
Member of the Economic Advisory Council to the Prime Minister (EAC-PM)
“As we reduce tariffs to make ourselves more competitive and become much more part of the global supply chain, it does mean that the real exchange would need to move enough in favour of exporters, in favour of manufacturing.”
thehansindia.com
“Given its geographical location, India should reconsider joining Regional Comprehensive Economic Partnership (RCEP), while making appropriate safeguards for our interests, and also apply to join CPTPP.”
thehansindia.com
