PIYUSH GOYAL TO ATTEND IPEF, KEY TRADE TALKS WITH US COMMERCE OFFICIALS

Even as the jury is still out on the prospects and viability of India joining the Indo-Pacific Economic Framework (IPEF) trade talks for long-term benefits, Commerce and Industry Minister Piyush Goyal set to represent India at the IPEF Leaders' Meeting and the Partnership for Global Infrastructure and Investment (PGII)-IPEF Investor Forum meeting as well as the Asia-Pacific Economic Cooperation (APEC) in San Francisco from 13-16 November 2023.

- NIVEDITA MUKHERJEE

The IPEF seeks to strengthen economic engagement among partner countries with the goal of advancing growth, peace, and prosperity in the region and its importance is not just as the third in-person convergence of partner nations but also because of the expectations regarding the likely significant updates on the progress of negotiations. Prime Minister Narendra Modi attended the IPEF launch event along with other partner countries of the Indo-Pacific region on 23 May 2022 in Tokyo. In the first-ever in-person Ministerial meeting in September 2022, pillar-wise ministerial statements were issued outlining the broad contours of text-based negotiations. The framework is structured around four pillars relating to Trade (Pillar I); Supply Chains (Pillar II); Clean Economy (Pillar III); and Fair Economy (Pillar IV). In December 2022, negotiations on all four Pillar Agreements were launched and in May 2023, negotiations on the Pillar-II Agreement were substantially concluded.

While India is committed to a free, open, inclusive Indo Pacific Region and working towards deepening economic cooperation amidst a framework that allows flexibility to partner countries to associate with pillars based on their respective priorities, there is growing opinion on the merits of India staying out of the Trade Pillar as gains were few in terms of tariff concessions. With the Government now inclined to the thought that there is no harm, India is opportunely positioned to join the trade pillar.