• About Us
    • Fact Checking Policy
    • Ownership & funding information
    • Volunteer
  • Subscribe
  • Letter submission
    • Submissions Policy
  • Contact Us
The Online Citizen Asia
  • Opinion
    • Editorial
    • Commentaries
    • Letters
    • Comments
  • Current Affairs
    • Singapore
    • Malaysia
    • Indonesia
    • China
    • ASEAN
    • Asia
    • International
  • Finance
    • Economics
    • Labour
    • Property
    • Business
  • Community
    • Arts & Culture
    • Consumer Watch
    • NGO
    • Lifestyle
    • Travel
  • Politics
    • Civil Society
    • Parliament
    • Transport
    • Education
    • Environment
    • Health
    • Housing
  • Law & Order
    • Legislation
    • Court Cases
No Result
View All Result
  • Opinion
    • Editorial
    • Commentaries
    • Letters
    • Comments
  • Current Affairs
    • Singapore
    • Malaysia
    • Indonesia
    • China
    • ASEAN
    • Asia
    • International
  • Finance
    • Economics
    • Labour
    • Property
    • Business
  • Community
    • Arts & Culture
    • Consumer Watch
    • NGO
    • Lifestyle
    • Travel
  • Politics
    • Civil Society
    • Parliament
    • Transport
    • Education
    • Environment
    • Health
    • Housing
  • Law & Order
    • Legislation
    • Court Cases
No Result
View All Result
The Online Citizen Asia
No Result
View All Result

15 countries sign RECP except India which wanted “movement of professionals”

by Correspondent
16/11/2020
in Current Affairs
Reading Time: 4 mins read
19

The Regional Comprehensive Economic Partnership (RCEP) was signed by 15 countries yesterday (15 Nov), which provides progressively lower tariffs across many areas in the coming years.

It’s the world’s biggest trade agreement involving 10 ASEAN countries along with China, Japan, South Korea, New Zealand and Australia. Together, the 15 countries make up nearly a third of the world’s population and account for 29 per cent of global GDP.

PM Lee hailed the signing of the RCEP as a major milestone. He said yesterday, “The RCEP is a major step forward for the world, at a time when multilateralism is losing ground and global growth is slowing… I have no doubt that the RCEP is a plus for all of us.”

However, 6 ASEAN and 3 non-ASEAN countries have yet to officially ratify the mega agreement. RCEP will only come into force when these countries have ratified the agreement through their respective parliamentary process of their countries.

India pulls out of RECP

The only country which pulled out of RECP during negotiation was India. It pulled out of RECP talks officially last Nov. When India decided to pull out, its industry leaders lauded the move (‘Exporters, industry laud India’s decision to pull out of RCEP‘, 5 Nov).

The elated chairman of Engineering Export Promotion Council of India, Ravi Sehgal, told the media then, “We welcome the decision in opting out of RCEP… Our MSME unit members were concerned about the possible opening up to Chinese imports; and hence it is a wise decision (to pull out).”

Federation of Indian Export Organisations president Sharad Kumar Saraf said, “Duty-free imports from China, which has economy of scale, and sitting on huge inventory and capacity could have jolted the (India’s) manufacturing beyond recovery and thus crippling exports.”

Federation of Indian Chambers of Commerce and Industry (FICCI) president Sandip Somany told the media also, “Serious apprehensions and reservations on RCEP have been expressed by a large number of sectors including steel, plastics, copper, aluminum, machine tools, paper, automobiles, chemicals, petrol-chemicals and others.”

And added, “Further, there were not enough positive developments in the area of trade in services, including easier mobility for our professionals and service-providers.”

India wants “movement of professionals” but was rebuffed

Indeed, the “movement of workers” clause was a major contention between India and other member countries in the RECP talks. In 2016, India started to pose veiled threats in pulling out of RECP if it couldn’t get concessions in “exporting” its workers out of India.

It was slowly abandoning any further negotiations on trade in goods till there was progress in the area of liberalizing trade in services, including movement of professionals. India informed the other RECP member countries that further negotiations on trade in goods would depend on the progress of negotiations in services trade, especially in the area of “movement of workers”.

At the time, some of the member countries were already resisting India’s push for a deal in services trade. An Indian official told the media in India that no country had offered anything worthwhile in Mode 4 of services (“movement of workers”) in the first round of offers exchanged between the members. “On the other hand, most members are aggressive in goods, and intensive discussions on give and take are happening in the area,” he added.

As talks progressed to 2017, India expressively showed its disappointment over the inadequate progress in talks on services trade liberalization especially for facilitating easier movement of professionals across countries (‘RCEP: India upset over slow progress on services talks‘, 23 May 2017).

India’s Commerce Minister Nirmala Sitharaman told the media at the time, “Progress in negotiations on services is not keeping pace with the kind of progress seen in goods negotiations.” In return for eliminating or reducing tariffs on goods, India wanted the other RCEP member countries to work toward liberalization across all modes of services, including movement of professionals.

India is, of course, always keen that any free trade agreements should also ensure easier “movement of professionals”, since it is a “leading services supplier” in the world with a large pool of “skilled workers”.

Finally, with the “movement of professionals” stalled at RECP talks as well as fear of China, India finally pulled out of RECP last year.

Nevertheless, PM Lee said he hopes that India will be able to come on board at some point so that “the participation in the RCEP will fully reflect the emerging patterns of integration and regional cooperation in Asia”.

 

For just US$7.50 a month, sign up as a subscriber on The Online Citizen Asia (and enjoy ads-free experience on our site) to support our mission to transform TOC into an alternative mainstream press.

Related Posts

Singapore detains student for planning attacks on city
AFP

Singapore detains student for planning attacks on city

01/02/2023
Hundreds of Myanmar anti-junta protesters rally in Bangkok
AFP

Hundreds of Myanmar anti-junta protesters rally in Bangkok

01/02/2023
AFP

6.0-magnitude quake rocks southern Philippines: USGS

01/02/2023
Myanmar streets empty in protest on coup anniversary
AFP

Myanmar streets empty in protest on coup anniversary

01/02/2023
MOM says labour market for 2022 improved, but many occupations see decrease in real income
Labour

MOM says labour market for 2022 improved, but many occupations see decrease in real income

01/02/2023
Sengkang Town Council is now directly-managed without a Managing Agent
Politics

Sengkang Town Council is now directly-managed without a Managing Agent

01/02/2023
Subscribe
Connect withD
Login
I allow to create an account
When you login first time using a Social Login button, we collect your account public profile information shared by Social Login provider, based on your privacy settings. We also get your email address to automatically create an account for you in our website. Once your account is created, you'll be logged-in to this account.
DisagreeAgree
Notify of
Connect withD
I allow to create an account
When you login first time using a Social Login button, we collect your account public profile information shared by Social Login provider, based on your privacy settings. We also get your email address to automatically create an account for you in our website. Once your account is created, you'll be logged-in to this account.
DisagreeAgree
19 Comments
Newest
Oldest Most Voted
Inline Feedbacks
View all comments

Latest posts

Singapore detains student for planning attacks on city

Singapore detains student for planning attacks on city

01/02/2023
Hundreds of Myanmar anti-junta protesters rally in Bangkok

Hundreds of Myanmar anti-junta protesters rally in Bangkok

01/02/2023

6.0-magnitude quake rocks southern Philippines: USGS

01/02/2023
Myanmar streets empty in protest on coup anniversary

Myanmar streets empty in protest on coup anniversary

01/02/2023
MOM says labour market for 2022 improved, but many occupations see decrease in real income

MOM says labour market for 2022 improved, but many occupations see decrease in real income

01/02/2023
Sengkang Town Council is now directly-managed without a Managing Agent

Sengkang Town Council is now directly-managed without a Managing Agent

01/02/2023
高庭驳回迪哥达索取警方录供的刑事动议

CEO of D1 Racing sues a woman to claim S$3 million for “emotional trauma” suffered from being friend-zoned

01/02/2023
Thai police chief apologises for Taiwanese celebrity’s alleged extortion case by police officers

Thai police chief apologises for Taiwanese celebrity’s alleged extortion case by police officers

01/02/2023

Trending posts

Former Singaporean shares change of life in Australia with annual pay of S$80,000 as a plumber

Former Singaporean shares change of life in Australia with annual pay of S$80,000 as a plumber

by Yee Loon
30/01/2023
25

...

Two Indian nationals paid about S$330 and S$730 respectively for forged certificates submitted in their S-Pass application

MOM found issuing EPs meant for foreign PMETs to PRC waitress and general worker

by Correspondent
26/01/2023
41

...

Earning only S$400 a month, delivery-rider turned hawker threw in the towel after two years of running a rojak stall

Earning only S$400 a month, delivery-rider turned hawker threw in the towel after two years of running a rojak stall

by Yee Loon
26/01/2023
24

...

Indian rupee falls 60% since signing of CECA while Singapore becomes top investor in India

by Correspondent
25/01/2023
68

...

Temasek and GIC reportedly in talks with Adani Group accused of “brazen” market manipulation and accounting fraud

Temasek and GIC reportedly in talks with Adani Group accused of “brazen” market manipulation and accounting fraud

by The Online Citizen
26/01/2023
59

...

Ho Ching breaks silence over Temasek’s write down of its US$275 million investment in FTX, says it “can afford to be contrarian”

US regulator questions VCs’ due diligence work prior to investing in FTX; Ho Ching says Temasek can afford to be contrarian

by The Online Citizen
24/01/2023
28

...

November 2020
M T W T F S S
 1
2345678
9101112131415
16171819202122
23242526272829
30  
« Oct   Dec »

The Online Citizen is a regional online publication based in Taiwan and formerly Singapore’s longest-running independent online media platform.

Navigation

  • Editorial
  • Commentaries
  • Opinion
  • Politics
  • Community

Support

  • Contact Us
  • Letter submission
  • Membership subscription

Follow Us

  • Facebook
  • Twitter
  • YouTube
  • Instagram
  • Fact Checking Policy
  • Privacy Policy

© 2022 - 2023 The Online Citizen Asia

No Result
View All Result
  • Opinion
    • Editorial
    • Commentaries
    • Comments
  • Current Affairs
    • Malaysia
    • Indonesia
    • China
    • ASEAN
    • Asia
    • International
  • Finance
    • Economics
    • Labour
    • Property
    • Business
  • Community
    • Civil Society
    • Arts & Culture
    • Consumer Watch
    • NGO
  • Politics
    • Parliament
    • Transport
    • Education
    • Environment
    • Health
    • Housing
  • Law & Order
    • Legislation
    • Court Cases
  • Lifestyle
    • Travel
  • Subscribers login

© 2022 - 2023 The Online Citizen Asia

wpDiscuz