Topic– Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests
1) In its present form, RCEP agreement, is good for the region but not for India. Critically analyze.(250 words)
Why this question
RCEP is an important trade agreement which will have significant implications for India. In this comment it is essential to analyze the agreement in detail and bring out why in its present form the agreement does not suit India’s interests.
Critically analyze-here we have to examine methodically the structure or nature of the topic by separating it into component parts, and present them as a whole in a summary.
Key demand of the question.
The question wants us to dig deep into the RCEP agreement and bring out why although the agreement may be good for the region/ bloc but is not in consonance with India’s interests in its present form.
Structure of the answer
Introduction– write a few introductory lines about the RCEP agreement- who are the members, status of India vis a vis RCEP and economy and population represented by the group.
- Discuss the size, power of the trade bloc and its significance. E.g
- The agreement will cater to half of world’s GDP (half of the world’s population) and will be the next biggest trade pact after the agreement on Arthur Dankel’s draft to upgrade General Agreement on Tariffs and Trade (GATT).
- Apart from the 10 member countries of the Association of Southeast Asian Nations (ASEAN), other RCEP signatories include China, Japan, South Korea, India, Australia and New Zealand.
- The progress of the partnership is being closely monitored by most trade observers globally, especially when considering the US-China trade war.
- Discuss why in present form the agreement is not good for India. E.g
- The agreement in the present state of negotiations would mean forgoing a substantial part of the revenues.
- This further implies that the government needs to be confident on the GST numbers so that it can compensate for the loss
- The presence of China creates apprehensions, especially when it is well documented that the country enjoys manufacturing surplus and is already dumping its products across the world, including in India etc.
Conclusion- based on your discussion, form a fair and a balanced conclusion on the given issue.