1.ASEAN-India Goods Trade Agreement (Free Trade Agreement)
What & Where
Agreement ASEAN-India Trade in Goods Agreement (AITIGA) is an FTA limited to physical goods
Parties India + 10 ASEAN members; operational across Indo-Pacific economies
Scope Eliminates/reduces tariffs, moderates non-tariff barriers, uses Rules of Origin
Quick Facts for MCQs
Origin & Timeline
- Milestone 7th ASEAN-India Economic Ministers’ meet birthed pact in 2009
- Service and investment chapters added later via 2014 agreement
- Review mandate issued 2022, target conclusion 2025
Tariff Framework
- Provision Gradual duty cuts; deeper for normal track, slower for sensitive lists
- Rule Rules of Origin minimum 35 % regional value content to claim preference
- Safeguard Clause allows temporary duty hikes on surge-hit items
Trade Statistics
- Surge Bilateral goods trade jumped from USD 39 bn (2009) to 121 bn (2023-24)
- Direction ASEAN now India’s 2nd-largest trading bloc after EU
- Deficit India’s merchandise deficit with ASEAN hovers ~USD 43 bn (2023-24)
Current Review
- Objective Simplify customs procedures, update product schedules, add e-commerce provisions
- Stakeholder Push Indian industry seeks shorter negative list, stricter origin checks
- Timeline Joint Committee to submit modernised text by 2025 ministerial
Key Data Points
| Feature | Data-Point |
|---|---|
| Signing year | 2009, Bangkok |
| Entry into force | 2010 |
| Separate services pact | 2014 |
| ASEAN members covered | Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, Vietnam |
| Tariff liberalisation target | >75 % of tariff lines |
| Bilateral goods trade FY 2023-24 | USD 121 billion |
| ASEAN share in India trade | 11 % |
| Sensitive/exclusion lists | Agriculture, auto parts etc. |
| Latest Joint Committee meet | 8th, New Delhi 2024 |
| Ongoing exercise | Comprehensive review to modernise AITIGA |
Related UPSC Prelims PYQs
If India enters into Free Trade Agreements (FTAs) with other nations, then the growth of exports of India would depend upon which of the following?









