Prime Minister Narendra Modi has proposed an India-ASEAN start-up festival on October 28, 2021.

Highlights

• This announcement was made in a virtual meeting of leaders of ASEAN at “18^th India-ASEAN Summit”.

• On the occasion, PM also called for an early review of ASEAN India Free Trade Agreement (FTA) in goods, which India has been asking for Indian businesses to gain better market access in ASEAN region.

Significance of FTA

ASEAN approval for reviewing FTA is important for India to address the problem of non-tariff barriers that Indian businesses face. India’s trade deficit with ASEAN region has widened since 2010, when FTA was implemented. Thus, to bridge the trade deficit, bloc should initiate some measures.

India-ASEAN start-up festival

India-ASEAN start-up festival was announced as a part of friendship year celebration between India & ASEAN in the year 2022. It was announced outlining the importance of technology & innovation in post covid-19 economic recovery.