Weekly news Economic Times
Cheaper Indian goods in Canadian
market after free trade deal
India will join China in filling up Canadian stores with
cheaper goods once New Delhi and Ottawa sign a free
trade agreement to do away with many taxes and duties.
The prime ministers of the two countries announced the
start of talks for a comprehensive economic partnership
agreement during their meeting on the sidelines of the G20
The two countries aim to push their trade more than three-
fold from the current $4.2 billion in the next five years.
While main Canadian exports to India include machinery,
fertilizers, wood pulp and vegetables, Indian exports
comprise garments, metals, precious stones and jewellery,
and electrical equipment.
A free trade agreement is expected to add about $6 billion
each to the economies of the two countries.
Canadian banks and insurance companies will benefit
immensely from a free trade pact with one of the fastest
Services gains seen in pact with
The India- Malaysia trade pact scheduled to be in place
next year will help India gain substantially in services,
especially in information technology , health, education
and telecom. The gains will be both for professionals
wanting to practice in the country and investors seeking to
establish commercial presence there.
Getting a good deal in services is important for India as its
trade pact with the 10-member regional grouping Asean,
of which Malaysia is a member, implemented earlier this
year does not include services.
Malaysia, like other Asean countries, has a lot to offer in
the area of services and at present has not made strong
Services will be progressively liberalised on a preferential
basis as per the agreement, with substantial sectoral
US, India to strengthen education
US president Barack Obama’s recent visit to India has
signalled a strong commitment to build ties between
the higher- education institutes of both the countries.
The idea is to enhance academic collaboration,
expand curricular offerings and joint research with the
The objective of this visit is to learn, first-hand, about
the higher education system in India, and build
bridges with potential partners.
Provide important tools and expertise, both to the 10
US institutions selected for this tour and to other
campuses seeking to expand US-Indian academic
Commerce department readies
strategy to double exports
The government will roll out a three-year plan to double the
country’s exports to $400 billion as it looks to address
growing concerns over the burgeoning trade deficit.
The commerce department is preparing a strategy paper
that will focus on sectors with growth potential such as
engineering goods, chemicals and pharmaceuticals.
India’s exports may exceed the $200 billion target in the
current fiscal year, after some key sectors recovered
strongly in the last few months. Exports had suffered a big
hit in 2008-end due to the global economic downturn.
The commerce ministry will set up a committee to rework
the export-oriented units (EOUs) scheme to ensure that it
remains attractive even after the tax sops lapse at the end
of this fiscal year. EOUs should be remodeled because
challenges and environment have changed.
India Economic Summit: Step up
engagement with Africa say
representatives of African nations
India must step up its engagement with the African nations to
develop a meaningful partnership and look beyond it as a
region to source minerals and agricultural produce.
India has been hesitant to take advantage of the nearly
emerged Africa, especially countries that have come out of
The participants felt that the Indian companies should not
only create employment opportunities for the African people
but also impart skills to them so that it puts the African
continent on a sustainable growth path.
Presently, trade and commercial ties between India and
Africa are driven mostly by the private sector. This is in
contrast to the strategy adopted by China, where the
government takes the lead and its companies follow.