Government to Revise FTAs to Boost Indian Auto Components Industry

ENA Economy 2024-09-10 16:30:48 New Delhi, Sep 10 (KNN) The Indian government is set to revise several Free Trade Agreements (FTAs) to bolster domestic industries, according to Union Minister of State for Commerce and Industry Jitin Prasada. Speaking at the 64th annual session of the Automotive Component Manufacturers Association (ACMA), Prasada outlined plans to renegotiate trade deals with South Korea, Malaysia, and various ASEAN countries. Prasada highlighted that Prime Minister Narendra Modi is personally overseeing negotiations for new FTAs with the United Kingdom and the European Union. These agreements are expected to significantly benefit the automotive components sector. We are fine-tuning our existing FTAs to align with the demands of our industry, Prasada stated, emphasising the government's commitment to supporting domestic manufacturers. The minister also addressed the need for increased investment in research and development within the auto components industry. Noting that current R&D spending accounts for only about 1 per cent of revenue, Prasada urged industry leaders to allocate more resources to innovation. Additionally, Prasada stressed the importance of enhancing exports, reducing import dependence, and ensuring sustained growth in the sector. These initiatives are part of a broader strategy to strengthen India's position in the global automotive supply chain. The government's focus on revising trade agreements and promoting domestic industry growth comes as India seeks to enhance its competitiveness in international markets while protecting local manufacturers. (KNN Bureau) 39225 https://knnindia.co.in/news/newsdetails/economy/government-to-revise-ftas-to-boost-indian-auto-components-industry 2024-09-10 16:30:48 knnindia.co.in Government to Revise FTAs to Boost Indian Auto Components Industry