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India, Chile expand preferential trading pact to boost economic ties

India, Chile expand preferential trading pact to boost economic ties
07 September 2016 Current Affairs: India and Chile have expanded their Preferential Trade Agreement with both offering to lower or eliminate tariffs on a number of items traded with each other.

Chile has offered concessions to India on 1798 tariff lines with margin of preference (extent to which duties are lower than those offered to other countries) ranging from 30 per cent to100 per cent.

India’s offer to Chile is on 1,031 products with a margin of preference between 10 per cent and 100 per cent.

The agreement on the expansion of India–Chile Preferential Trade Agreement (PTA) was signed in a meeting between Commerce Secretary Rita Teaotia and Chilean Ambassador to India Andrés Barbé González.

India and Chile first signed a PTA in March 2006 but it was limited in scope. India’s offer list to Chile in the initial PTA consisted of 178 tariff lines with a margin of preference ranging from 10 per cent to 50 per cent. Chile’s offer list to India comprised 296 tariff lines with margin of preference ranging from 10 per cent to 100 per cent.

 


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