Eurasian economic union meets to speed up proposed FTA with India
Recently the Eurasian Economic Union (EAEU) has held a meeting to speed up the proposed Free Trade Agreement (FTA) with India.
EAEU has decided to expedite the proposed FTA with India. It will give India access to the markets of resource-rich Eurasia.
FTA is an agreement made between two or more nations to reduce import and export barriers.
Significance of FTA with Eurasia –
- This will help in diversifying the basket of goods and services between the two sides.
- The FTA will help both sides to cooperate in sectors such as oil, gas, gold, diamond, timber, pharmaceuticals, agriculture, aviation, railways and logistics.
- This will enable better logistics and connectivity between the two sides.
- FIA can make India a knowledge-based services hub. This can improve the image of ‘Brand India’.
- It will improve bilateral relations between India and the 5 countries of EAEU.
Eurasian Economic Union (EAEU)
- It is an international organization for regional economic integration.
- It is an international legal body. It has been established by the Eurasian Economic Union Treaty.
- Members: Armenia, Belarus, Kazakhstan, Kyrgyzstan and Russia.
- Functions: It provides free movement of goods, services, capital and labour. At the same time, it ensures the observance of a coordinated, consistent and single policy in areas determined by treaties and international agreements within the Union.
Source – Economics Times
