India, Japan move closer to trade pact

NEW DELHI: India and Japan have decided to set up four working groups in goods, services, investment and bilateral cooperation to take forward negotiations on the proposed bilateral comprehensive economic partnership agreement (CEPA).

The decision was taken during the first round of negotiations on India-Japan CEPA which concluded in New Delhi on Friday with both sides agreeing on the terms of reference for future negotiations. The second round of negotiations will be held in April in Tokyo.

The joint study group (JSG) set up by the prime ministers of India and Japan to study the feasibility of a bilateral agreement had recommended that a CEPA including goods, services and investment between the two countries was feasible and would go a long way in boosting trade and economic activity. India���s exports to Japan in 2005-06 were valued at $2.4 billion while imports stood at $3.5 billion.