The AITIGA review is aimed at correcting trade asymmetries. Examine India's concerns and the reforms it should seek.
In this answer
The ASEAN-India Trade in Goods Agreement (AITIGA), in force since 2010, was placed under review in September 2022 to make it "more trade-facilitative and mutually beneficial" [1]. With bilateral trade at about USD 128 billion in 2025-26 [1], India's push at the 14th East Asia Summit Economic Ministers' Meeting and 23rd AEM-India Consultation in Manila [2] reflects concerns that are structural, not merely tariff-related.
India's concerns
- Coverage asymmetry: AITIGA liberalises goods only, where ASEAN manufacturing is competitive, while services and investment sit in separate, later agreements — leaving India's strength outside the same bargain. Newer pacts show the contrast: the India-UK CETA and India-Oman CEPA (2025) combine goods, services and professional mobility in one package [3].
- Rules of origin circumvention: inadequate value-addition tests allow third-country goods minimally processed in ASEAN to enter India duty-free. A standing Sub-Committee on Rules of Origin met again alongside the 13th Joint Committee in July 2026 [1].
- Non-tariff barriers: SPS measures, standards and customs procedures stall shipments even at zero duty — five of the eight sub-committees address such issues [1].
- Negotiating drift: thirteen Joint Committee rounds since 2022, yet AITIGA remains under "active negotiations" while UAE, Australia, EFTA, UK and Oman deals were concluded [3].
Reforms India should seek
- Single-undertaking approach: read the goods review together with the services agreement, so ASEAN market access is traded against Indian services and Mode-4 commitments, on the CETA-Oman template [3].
- Stricter origin rules with meaningful regional value content and verification provisions.
- Trade facilitation: mutual recognition of standards and testing, supported domestically by Niryat Disha under the Export Promotion Mission (₹25,060 crore) for MSME certification and compliance [3].
- A time-bound conclusion of the review, converting eight open sub-committees into a dated work plan.
A calibrated, comprehensive AITIGA would align the Act East Policy with India's export diversification drive, making the partnership genuinely balanced and durable.
Sources
- 1PIB, "India Hosts 13th ASEAN-India Trade in Goods Agreement Joint Committee Meeting" (July 2026)Sep 2022 review mandate, 8 sub-committees, SC-ROO meeting, USD 128 bn trade in 2025-26
- 2ASEAN Secretariat, "Joint Media Statement of the Fourteenth EAS Economic Ministers' Meeting" (Manila, Sep 2026)Manila meetings and India's participation
- 3PIB Backgrounder, "Crafted in India, Delivered Globally: Exports Powered by Trade Agreements" (18 Dec 2025)India-UK CETA and India-Oman CEPA coverage, concluded vs active negotiations, Export Promotion Mission and Niryat Disha