Press Release

Protecting domestic industry is India’s sovereign right: TPCI

Press Release:

Protecting domestic industry is India’s sovereign right: TPCI

Congratulates PM for bold decision to exit from RCEP

5th November 2019, New Delhi: Trade Promotion Council of India (TPCI) has congratulated PM for his bold move to exit a non-paying deal which could have hit the domestic industry adversely.

Speaking on the RCEP, Chairman TPCI, Mohit Singla said, Protecting the domestic industry is India’s sovereign right. India has always been moving with optimism and caution on this mega trade agreement. The signing could have not only hurt the export competitive but also sectors like dairy meat and agri could have been badly hit, with relatively little gains to India.”

Further Chairman said, “RCEP mega deal was expected to hurt India’s export competiveness as the trade balance is already skewed and there was apprehension of flood of goods imports in the Indian market.” Additionally, with growing protectionist trends and rising trade tensions, the global environment has become highly volatile for business. In such a scenario, India needs to keep a tight vigil before signing any trade agreement, he added.

Singla further informed that, ”At the commodity level, India’s import was likely to experience the highest increase in machinery, electrical and mechanical equipment followed by ships, boats and floating structures, animal or vegetable fats and oils and wood and articles of wood from these RCEP participants.”

Commenting on services Singla stated that, “One of the key concessions demanded by India is greater mobility for its services professionals through measures like visa fee waivers and an RCEP business travel card. RCEP countries have rejected these proposals due to fears of job losses and migration. Therefore, it was imperative for India to exit a deal without inclusion of services.”

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