📷 Image: Wikimedia Commons / Prime Minister's Office
Business
India-ASEAN Summit Expected to Leave Trade Pact Review Stalemate Unresolved
✍️ BusinessLine
🗓 06 Nov 2026, 09:46 AM
👁 13
Analysts say the upcoming India-ASEAN summit is unlikely to resolve the long‑standing deadlock over the review of the ASEAN‑India Free Trade Agreement.
The India-ASEAN summit, slated for later this year, will convene leaders from India and the ten ASEAN member countries to discuss a broad agenda that includes the pending review of the ASEAN‑India Free Trade Agreement (AIFTA).
Negotiations on the AIFTA review have been stalled for several years, with both sides unable to agree on key issues such as market access, rules of origin and dispute‑settlement mechanisms. Previous rounds of talks have ended without a consensus, leaving the agreement in a state of limbo.
Industry observers and trade experts caution that the summit is unlikely to break this impasse. They point to entrenched positions on tariff reductions and domestic political sensitivities that make compromise difficult.
If the deadlock persists, the anticipated economic benefits of deeper integration—ranging from increased bilateral trade to stronger supply‑chain linkages—may be delayed, prompting businesses to seek alternative markets.
Negotiations on the AIFTA review have been stalled for several years, with both sides unable to agree on key issues such as market access, rules of origin and dispute‑settlement mechanisms. Previous rounds of talks have ended without a consensus, leaving the agreement in a state of limbo.
Industry observers and trade experts caution that the summit is unlikely to break this impasse. They point to entrenched positions on tariff reductions and domestic political sensitivities that make compromise difficult.
If the deadlock persists, the anticipated economic benefits of deeper integration—ranging from increased bilateral trade to stronger supply‑chain linkages—may be delayed, prompting businesses to seek alternative markets.