By Lee Tae-hoon
Staff Reporter
A National Assembly committee Monday approved a motion to ratify the comprehensive trade agreement with India that would eliminate or cut tariffs on 4,459 Korean products exported to the world's second most populous nation.
The Foreign Affairs, Trade and Unification Committee approved the motion submitted by the government.
The two Asian countries concluded the bilateral trade deal, the Comprehensive Economic Partnership Agreement (CEPA), in early August to reduce tariffs on such goods as auto parts and electronics.
The CEPA is similar to a free trade agreement (FTA), but phases out tariffs more slowly.
If ratified in a plenary Assembly session, it will lower tariffs on Korean auto parts by as much as 5 percent, and on refrigerators and color televisions by 50 percent over the next eight years.
Duties on Indian products, excluding agricultural products such as rice and meat, will be lowered by some 90 percent or eliminated.
The pact will also unlock bilateral trade in the services sector, such as medicine, construction, and boost personnel exchange, including IT experts, scientist and English teachers.
"Once the CEPA is completed, the bilateral trade will further increase," Vice Foreign Minister Kwon Jong-rak said. "The government will strengthen cooperation with India and do its best to take advantage of the trade deal."
It will take effect on Jan. 1 next year if ratified as scheduled.