Enhancing India's Agri-Exports to ASEAN: Opportunities and Strategies

Suvangi Rath (), Tanay Suntwal () and Aishwarya Rohatgi ()
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Suvangi Rath: Indian Council for Research on International Economic Relations (ICRIER)
Tanay Suntwal: Indian Council for Research on International Economic Relations (ICRIER)

Indian Council for Research on International Economic Relations (ICRIER) Report from Indian Council for Research on International Economic Relations (ICRIER), New Delhi, India

Abstract: India-ASEAN agricultural trade has grown significantly in the past two decades, though challenges remain in achieving balanced growth. India's agricultural exports to ASEAN have increased, but overall, it has faced a trade deficit, with imports consistently surpassing exports except in a few years. The ASEAN-India Free Trade Agreement (AIFTA), signed in 2008 and implemented in 2010, aimed to boost trade by reducing tariffs on agricultural and other goods. Early Harvest Schemes, such as the 2006 agreement with Thailand, were initial steps toward gradual tariff reductions on select products. Despite these concessions, India's export growth has been constrained by non-tariff measures (NTMs), including sanitary and phytosanitary (SPS) regulations and technical trade barriers (TBT). While some NTMs declined after the FTA, market access remains limited. Trade intensity indices indicate a strong preference for agricultural exports to ASEAN, with Indonesia, Malaysia, Vietnam, and Myanmar as key partners. However, ASEAN's competitive position in agricultural trade has resulted in a trade balance favouring ASEAN. This report explores the opportunities to strengthen India's agricultural exports by improving product standards, diversifying exports, enhancing trade facilitation, and leveraging India's proximity to ASEAN markets (Indonesia, Malaysia, Philippines, Singapore, Thailand, Vietnam) for logistical advantages.

Keywords: ASEAN-India Agriculture Trade; AIFTA; Non-Tariff-Measures; Agriculture; icrier (search for similar items in EconPapers)
Pages: 93 page
Date: 2025-05
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