India, Asean yet to sort out FTA issues: Nath

PRAVASI BHARTIYA DIVAS

Ahead of the Asean summit, Commerce Minister Kamal Nath today said the negotiations between India and the Asean countries on the proposed Free Trade Agreement (FTA) were stuck on certain issues.

The summit of the Association of Southeast Asian Nations will be held at Cebu in the Philippines from January 10.

"We are grappling with some complicated issues. These are going to be discussed and then we can see how to move forward," Nath told mediapersons on the sidelines of the Pravasi Bharatiya Divas summit here.

"India's sensitivities must be respected as much as we respect the sensitivities of other countries. A trade agreement has to be a win for both sides," Nath added.

The proposed FTA between India and the 10-member Asean was supposed to have become operational by this year, but was stuck on issues like the negative list and tariff (reduction) lines.

To appease the Asean members, India has reduced the number of items on the negative list to 490, from 560 in December, 2006.