Globalisation is facilitating trade and investment flows across the world and free-trade agreements (FTAs) are instrumental in creating new opportunities and expanding the trade and investment basket for goods and services between nations.
The Confederation of Indian Industry (CII) is convinced that a large section of Indian business is now globally competitive. They can use FTAs to provide significant economic benefits for India by intensifying trade and investment in foreign markets. Companies across sectors are looking at markets for trade and investment.
The framework agreement for a FTA signed with Thailand during the visit of Prime Minister Atal Bihari Vajpayee is an eminent example of India identifying and associating itself with the ongoing changes in the global marketplace.
Nations across continents are entering into new arrangements for freeing flow of goods, services and capital among themselves to help stimulate the economy and provide new opportunities to firms and individuals.
The CII is of the view that the FTA with Thailand will provide several benefits for Indian industry.
First, the FTA sends the right signal to the global business fraternity that India is not a closed or a protectionist economy, but is willing to negotiate to open its markets for a two-way flow of goods from other countries.
Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of www.business-standard.com or the Business Standard newspaper
