India in a hurry, more FTAs on anvil

Close on the heels of a Free Trade Agreement with Thailand, India is now focusing on signing more such trade deals with member countries of Association of South East Asian Nations, MERCOSUR (Mercado Común del Sur) and Gulf Cooperation Council.

Pointing that these trade arrangements would provide India's industries with easier access to export markets in partner nations, Minister of State for External Affairs Rao Inderjit Singh on Friday asked the industry to prepare itself for international competition.

"These trade arrangements provide our industries easier access to export markets in the partner countries. At the same time, Indian industry is being exposed to more international competition than ever before. In such a competitive environment, there is no shortcut to survival other than to become internationally competitive," he said.

The minister was speaking after inaugurating a national workshop on 'Strategic Approach to Strengthening International Competitiveness in Knowledge-based Industries' organised by Department of Scientific and Industrial Research and policy think-tank Research and Information System.

Singh said India's exports were still dominated by textiles, iron ore and tea, which were highly prone to price competition, while knowledge-intensive industries like capital goods, automobiles, electronics and chemicals were lagging behind in their export potential.

Speaking on the occasion, regional director of United Nations Industrial Development Organisation George Assaf said India needed to increase its openness to international trade and step up export of technologically intensive products.