India decided not to join the Regional Comprehensive Economic Partnership (RCEP) in 2019, citing concerns that the pact did not adequately address its interests, and there has been no change in that position, Commerce and Industry Minister Piyush Goyal said on Friday.
The RCEP, a mega free trade agreement, involves 10 ASEAN countries—Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam—along with six free trade partners: Australia, China, India, Japan, South Korea, and New Zealand.
In a written response to the Rajya Sabha, Goyal stated that the structure of the RCEP did not meet the ambitions or address the concerns of India’s stakeholders. As a result, India chose not to participate in the agreement in its current form.
During the third RCEP Leaders Summit, held in Bangkok on 4 November 2019, India made its position clear, emphasising that the deal did not address the country’s key issues.
Goyal confirmed that there has been no change in India’s stance since then, in response to a question about whether the government is reconsidering its decision to join the RCEP.
His comments come after Niti Aayog CEO BVR Subrahmanyam suggested in November that India should consider joining the RCEP.
In his statement, Goyal also highlighted a significant increase in India’s imports from China. Imports surged to USD 101.74 billion in the 2023-24 fiscal year, up from USD 70.32 billion in 2018-19. However, India’s exports to China slightly decreased to USD 16.66 billion in the last fiscal year, compared to USD 16.75 billion in 2018-19.
Goyal explained that most of the goods imported from China are capital goods, intermediate goods, and raw materials, which are vital for meeting the growing demand in sectors such as electronics, telecom, and power in India.
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