India-Uruguay Customs agreement receives Cabinet nod

NEW DELHI: Government today approved signing and ratifying an agreement between India and Uruguay regarding co-operation and mutual assistance on Customs matters.

The decision was taken at a meeting of the Union Cabinet chaired by Prime Minister Narendra Modi here.

The agreement will provide legal framework to sharing of information and intelligence between Customs authorities of the two countries and help in proper application of laws, prevention and investigation of Customs offences and the facilitation of legitimate trade.

The draft text of the proposed Agreement has been finalised with the concurrence of the two Customs administrations.

"The agreement will help in the availability of relevant information for prevention and investigation of Customs offences. It is also expected to facilitate trade and ensure efficient clearance of goods traded between the countries," an official statement said.

The draft agreement takes care of Indian Customs' concerns and requirements, particularly in exchange of information on the correctness of the Customs value declared, authenticity of certificates of origin of goods and the description of the goods traded between the two countries.

Uruguay is a key trading partner of India among members of MERCOSUR, a trading bloc in Latin America. India signed a preferential trade agreement (PTA) with MERCOSUR that came into effect from June 1, 2009. Trade between India and Uruguay has been expanding gradually.