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Japan, India to Ink Free Trade Agreement

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Japan, India to Ink Free Trade Agreement

by CFO Innovation Asia Staff, 16 February 2011
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Japan and India will sign a free-trade agreement today that will do away with tariffs on 94% of trade between the two countries within 10 years, reports the Wall Street Journal.

 

Citing analysts, the Journal says closer ties with India could potentially open the way for Japanese investment in the development of rare-earth minerals, used in a wide range of products.

 

The trade agreement will cover a large variety of industries, including agriculture. The agreement however won't affect pre-existing tariffs on rice.

 

The pact also marks Japan's latest effort to catch up with South Korea, which has leveraged its trade agreements to increase its global competitiveness.

 

The deal with India will likely hearten a range of Japanese exporters, from electronics to auto makers, says the Journal.

 

 

MORE ARTICLES ON FREE TRADE AGREEMENT

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