Comprehensive Economic Cooperation Agreement Between India And Malaysia

MICECA is a comprehensive agreement covering trade in goods, trade in services, investment and transport of natural persons. It enhances the benefits of the ASEAN-India Agreement on Trade in Goods (AITIG) and will further facilitate and improve reciprocal trade, services, investment and economic relations in general. The Comprehensive Economic Cooperation Agreement between India and Malaysia (CECAF) will enter into force on 1 July 2011. India-Malaysia CECAF is India`s fourth bilateral economic cooperation agreement after Singapore, South Korea and Japan. The ECSC provides for the liberalization of trade in goods, trade in services, investment and other areas of economic cooperation. The India-Malaysia COPS also facilitates cross-border investments between the two countries. The aim is to promote investment and create a liberal, facilitating, transparent and competitive investment system. The ECSC creates an attractive working environment for the business community of both countries in order to increase bilateral trade and investment. Under the CEA Services Agreement, India and Malaysia have made economically sound commitments in sectors and modes of mutual interest that should lead to improved trade in services. The ECSC also facilitates the temporary movement of businessmen, including contract providers, and self-employed professionals in economically important sectors such as accounting and auditing, architecture, town planning, engineering services, medicine and dentistry, nursing and pharmacy, computers and related services (CRS) and management services. Trade between India and Malaysia reached $10 billion in 2010-11, up 26 percent from the previous year. The implementation of this agreement is expected to increase bilateral trade to $15 billion by 2015.

MICECA also includes a separate chapter that facilitates the temporary entry of installers and service providers, contractual service providers, independent professionals and business visitors (including potential investors) from Malaysia to India and vice versa. However, in order for your product to benefit from preferential rights, it must meet the criteria of the Rules of Origin (ROO) under MICECA. . Interested parties can view your product`s specific rules under the following links. Normal Track 1 (NT1): tariffs applicable to all products listed in NT1 are abolished until 30 September 2013, three months before AITIG; Malaysia and India adopted, on 24 September 2010, the Malaysia-India Comprehensive Economic Cooperation Agreement (MICECA) was established. India has committed to allow Malaysian foreign stakes of 49 to 100 percent in 84 service sectors, including professional services, health, telecommunications, retail and environmental services. In return, Malaysia has committed to allowing Indian foreign participation in 91 service sectors. With customs liberalization, the Trade in Goods Package (CFS) between India and Malaysia goes beyond the India-ASEAN FTA commitments implemented by both countries on 1 January 2010.

Among the items for which India has been granted market access from Malaysia are, under CECAF India, basmati rice, mangoes, eggs, trucks, motorcycles and cotton garments, all of which are of considerable export interest to India. At the same time, India has adequately protected sensitive sectors such as agriculture, fisheries, textiles, chemicals, cars, etc. Products on India`s exclusion list (EL) are not eligible for a reduction or elimination of duties in accordance with MICECA. The Indian importer should pay the duty on the basis of the current lowest rate of pay. . A woman. Wong Pik Sieng DL: 03-6208 4723 E-mail: elimination or progressive reduction of customs duties from the date of entry into force of the agreement on 1 July 2011. . .

Comments are closed.