Bilateral trade between India and the Association of Southeast Asian Nations (ASEAN) reached US$128 billion during the 2025–26 financial year, according to data reported by IANS. This volume accounts for roughly 11 percent of India’s total global trade, cementing the bloc’s position as a primary economic partner as both sides prioritize supply chain resilience and regional growth.
How is the ASEAN–India Trade in Goods Agreement (AITIGA) evolving?
India is currently hosting the 13th ASEAN–India Trade in Goods Agreement (AITIGA) Joint Committee to modernize the existing trade framework. According to India’s Ministry of Commerce and Industry, the objective is to make the agreement more responsive to contemporary business and investment requirements. The meetings bring together technical experts to refine chapters that have remained unresolved.
ASEAN represents approximately 11 percent of India’s total global trade, making it one of the most significant economic corridors for the country.
Why is the current AITIGA review process significant?
The ongoing negotiations are designed to accelerate progress on unresolved chapters within the trade pact. During recent sessions, co-chaired by officials from India’s Department of Commerce and Malaysia’s Ministry of Investment, Trade and Industry, participating nations established time-bound objectives for specialist working groups.
Malaysia’s leadership in this process is particularly notable, given its role as the ASEAN Chair for 2026.
What are the primary goals for future India-ASEAN trade?
Beyond simple volume growth, the focus has shifted toward economic integration and the creation of resilient supply chains.
For businesses looking to enter the Southeast Asian market, monitoring the progress of the AITIGA review is essential. Updates to the agreement may soon lower tariff barriers and streamline customs procedures across member states.
Frequently Asked Questions
What is the current value of India-ASEAN trade?
According to IANS, bilateral trade reached US$128 billion during the 2025–26 financial year.
Who is leading the current AITIGA negotiations?
The Joint Committee is co-chaired by senior officials from India’s Department of Commerce and Malaysia’s Ministry of Investment, Trade and Industry.
Why is the AITIGA agreement being reviewed?
The review aims to modernize the trade agreement to better align with current business needs, investment trends, and the necessity for more resilient regional supply chains.
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