Australia, New Zealand raise concerns on extending tariff sops in RCEP

Australia and New Zealand have raised concerns at India’s idea of removing duties on goods being imported from certain Asia Pacific countries, including China, over a longer period of time under a mega trade agreement, reports Kirtika Suneja.

“Australia, New Zealand and some Asean countries have raised concerns on higher staging period. They say it dilutes market access provisions,” said an official aware of the talks.

India wants to give tariff concessions to Beijing over a 20-year period (called ‘staging’ in trade parlance) under the Regional Comprehensive Economic Partnership (RCEP) trade agreement as it has a whopping $64 billion trade deficit with China.


Indian industry and exporters are apprehensive about the presence of China in the grouping and fear cheap Chinese imports will flood the domestic market with any cut or elimination of duties. “These are single product economies and fear weakening entry of their goods into other countries,” said another official referring to Australia and New Zealand’s concerns.