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As India gears up to become a $5 trillion economy, Free Trade Agreements (FTAs) have become a cornerstone of its international economic strategy. These agreements go beyond tariff concessions - they are tools to foster global competitiveness, attract investment, and strengthen diplomatic ties.
India's recent FTAs, such as the India-UAE CEPA and India-Australia ECTA, are examples of this shift toward deeper, more comprehensive trade frameworks. These deals not only open access to new markets but also include progressive chapters on digital trade, intellectual property, and environmental standards.
However, the journey hasn't been without lessons. Past FTAs with ASEAN and others brought significant trade imbalances and raised concerns among domestic manufacturers. India is now taking a more cautious and calibrated approach, prioritizing fair reciprocity, value-added exports, and sectoral protection.
With upcoming negotiations involving the UK, EU, and GCC nations, India is pushing for agreements that promote long-term strategic and economic gains.
To explore the full picture of India's evolving trade policy, check out this comprehensive blog on Free Trade Agreements from TriumphIAS.