India’s zinc-trade deficit with Korea tells why we need industry input on deals: LM

Essence: Push for “atma-nirbhar" Bharat by the Government is facing a hurdle by another action of the government in the form of signing free trade agreements (FTAs) without proper due diligence. Author warns that given our past experience with FTAs, we should be careful to ensure that our market is not flooded with cheap imports which will end up hurting domestic industry. Increased zinc import to India after signing of FTA with Republic of Korea is a case in point, even though Korea has almost no Zinc mine. This raises questions related to Rules-of-Origin (RoO). Article concludes with a suggestion that issues related to Rules-of-Origin (RoO) should be addressed in future FTAs and domestic industry should be consulted before signing agreements.

Why should you read this article?

• To understand challenges related to signing of Free Trade Agreements without proper due diligence.
• To understand India’s zinc dependence on South Korea.

Source:

• India’s zinc-trade deficit with Korea tells why we need industry input on deals: