Trade Deficit Dilemma: Assessing AIFTA's Impact on India’s ‎Bilateral Trade

Deepali Kanwar; Dr Kavita Indapurkar

doi:10.14419/0zfjmz77

Article Details

Trade Deficit Dilemma: Assessing AIFTA's Impact on India’s ‎Bilateral Trade

Authors:

Deepali Kanwar | Dr Kavita Indapurkar

Publisher:

Science Publishing Corporation

Journal:

International Journal of Accounting and Economics Studies Vol.12 Issue 5, pp.339-350

Document Type:

Article

Publication Date:

8/2025

Document Language:

English

Document ID (Org No.):

2001386073

pISSN:

2309-4508

DOI:

10.14419/0zfjmz77

Keywords:

Abstract:

 The study examines the AIFTA agreement's impact on bilateral trade volumes and deficits, implying that one may find that the agreement has a ‎disproportionately positive impact on the ASEAN member states. The study employs a mixed-method approach to analyze structural changes-‎es in India's trade basket during the AIFTA period. It consists of a product-level analysis at the HS six-digit level for selected liberalized ‎goods, along with a comparative study of MFN and FTA tariff rates to determine their impact on bilateral trade. The study highlights unequal FTA-MFN tariffs for palm oil and pepper, and an inverted duty regime for aluminum and copper, thus emphasizing the need to go ‎deeper and carry out product-level analysis beyond trade deficit trends. Limited access to detailed preferential trade data restricts the ability ‎of AIFTA to carry out empirical analysis. Further research will require more advanced datasets and deeper product-level analysis to adequately track its impact. The study contributes to the AIFTA literature by developing tariff analysis methods and performing case studies to ‎create policy insights that would help in better tariff design under the Agreement‎.

Article Details

Trade Deficit Dilemma: Assessing AIFTA's Impact on India’s ‎Bilateral Trade

Authors:

Deepali Kanwar | Dr Kavita Indapurkar

Publisher:

Science Publishing Corporation

Journal:

International Journal of Accounting and Economics Studies Vol.12 Issue 5, pp.339-350

Document Type:

Article

Publication Date:

8/2025

Document Language:

English

Document ID (Org No.):

2001386073

pISSN:

2309-4508

DOI:

10.14419/0zfjmz77

ASEAN

FTA

Inverted Duty Structure

MFN

Trade

Trade Policy

Issues

Article Details

Trade Deficit Dilemma: Assessing AIFTA's Impact on India’s ‎Bilateral Trade

Authors: Deepali Kanwar | Dr Kavita Indapurkar

Publisher: Science Publishing Corporation

Journal: International Journal of Accounting and Economics Studies Vol.12 Issue 5, pp.339-350

Document Type: Article

Publication Date: 8/2025

Document Language: English

Document ID (Org No.): 2001386073

pISSN: 2309-4508

DOI: 10.14419/0zfjmz77

ASEAN

FTA

Inverted Duty Structure

MFN

Trade

Trade Policy

Issues

Authors:

Deepali Kanwar | Dr Kavita Indapurkar

Publisher:

Science Publishing Corporation

Journal:

International Journal of Accounting and Economics Studies Vol.12 Issue 5, pp.339-350

Document Type:

Article

Publication Date:

8/2025

Document Language:

English

Document ID (Org No.):

2001386073

pISSN:

2309-4508

DOI:

10.14419/0zfjmz77