Issues and Analysis on India and APEC for UPSC Civil Services Examination (General Studies) Preparation

APEC

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    India and APEC

    The  debate  over  India’s  membership  to  APEC  has  been  gaining  ground ever since  the  moratorium  on  new  membership  expired  in  2010.  Within  India,  the  arguments  supporting APEC  membership  are  primarily  based  on  India’s  growing , strategic  clout  and  economic  power . But there is still doubts regarding India’s performance like In  terms  of  economic  liberalization,  it  has  still  to  sign  bilateral  free  trade  agreements with  a  number  of  countries  in  Asia - Pacific  including  Australia,  US  and  many  other  members  of  APEC. India  has  relatively  high  tariff  regime  and  is  yet  to  formalise  services  and  investment  agreement  with  ASEAN. According  to  analysts,  India  still  needs  to undertake  a  slew  of  economic  reforms,  trade  and  tariff  liberalizing  policies  in  order  to  gain  APEC  membership. India,  particularly , needs  to  work  on  regional  value  chains,  promotion  of  Indian  investments  abroad  and  ease its  customs  procedures  as well  as  Rules  of  Origin  (ROOs).These  issues  have  frequently  cropped  up  during  India’s  negotiations  for Comprehensive  Economic  Cooperation/Partnership  Agreement ( CECA/CEPA ) with  other  countries. .  India has long sought membership in the APEC forum, for strategic, diplomatic, and economic reasons. With 21 members from both sides the Pacific ocean and an influential annual leaders’ meeting, APEC serves a valuable role in the Asian diplomatic scene. Though New Delhi’s ambition for APEC membership hasn’t come to fruition to date, it won a small victory when, the U.S. invited it to observe in 2011. Though most APEC member states do not deny India’s growing economic clout on the world stage, the mere geographic reality that India doesn’t sit on the Pacific Ocean has led the grouping to see New Delhi’s participation as antithetical to the geographic logic of the organization.

    However, India’s desire for membership was not on the agenda of the Asia Pacific Economic Cooperation (APEC). But growing support of India among APEC members increasing its chances to become member soon.

    About APEC

    The forum was established in 1989 to support the economy of these nations while having Japan as the leader. Its head office is situated in Singapore. The members countries are Australia, Brunei Darussalam, Canada, Indonesia, Japan, South Korea, Malaysia, New Zealand, Philippines, Singapore, Thailand, United States, Chinese Taipei, Hong Kong, China, People's Republic of China, Mexico, Papua New Guinea, Chile, Peru, Russian Federation and Vietnam


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