Saarc Countries Free Trade Agreement
Distributors use SAFTA to divert palm oil through Bangladesh, Nepal to India. The Solvent Extractors` Association of India (SEA), a leading vegetable oil trade organization, has called on the government to look for ways to stop the indirect purchase of palm oil and soybean oil from Nepal and Bangladesh under the South Asia Free Trade Agreement (SAFTA). Annex III Least Developed Countries Revenue Loss Compensation Facility (LCM): Annex III sets out the mechanism and its rules and rules for compensating least developed Member States for their loss of customs revenue resulting from the implementation of the Trade Liberalization Programme (TLP) under this Agreement. The main features are the same: the SEA has asked the government to fill a loophole in the South Asian regional free trade pact, which has been used to circumvent tariffs through imports of palm oil and soybean oil diverted by Nepal and Bangladesh. training in sanitary and phytosanitary measures; technical barriers to trade and export of agricultural products. 13 Saarc Secretariat, A Brief on SAARC, online: SAARC [Saarc Brief]. Nepal imported 54,076 tons of palm oil from July to August and exported 35,706 tons to India during that period, the trade organization said, citing import data. 26 Rule 4 of Annex II to the SAARC Preferential Agreement (SAPTA), online: . The establishment of an Intergovernmental Group (IIG) to develop an agreement for the establishment of a SAPTA by 1997 was approved at the sixth SAARC Summit held in Colombo in December 1991. The objective of SAFTA is to promote and improve common treaties between countries, such as medium- and long-term contracts. Trade contracts with States, security of supply and import for certain products, etc. These are tariff concessions such as domestic tariff concessions and non-tariff concessions The South Asian Free Trade Area (SAFTA) is the free trade agreement of the South Asian Regional Cooperation Association (SAARC). The agreement entered into force in 2006 and replaced the 1993 SAARC preferential agreement.
SaFTA signatories are Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka. The agreement was signed in 2004 and entered into force on 1 January 2006, SAARC member states (Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka) wish to promote and maintain economic trade and cooperation within saarc by exchanging concessions. In accordance with the trade liberalization programme, the Contracting Parties must adhere to the following tariff reduction schedule. Non-developing countries should be reduced to 20 per cent of tariffs, which reduced no developing countries the least amount of existing customs and by 30 per cent by least developed countries. However, there is no trade liberalization system for the sensitive list, as this list must be negotiated between the contracting countries and then traded. The sensitive list will include a common agreement between the developing countries, which will favour the developing countries. The SAFTA Council of Ministers (SMC) will participate every four years to review the sensitive list in order to reduce the list. The TLP entered into force on 1 July 2006 on the condition that the TLP be completed for the first two years, until 31 December 2007, i.e. within two years of the entry into force of SAFTA.
In order to provide better market access to its least developed neighbours, India unilaterally reduced saFTA tariffs to zero per cent with effect from 1.1.2008, thus concluding the SAFTA tariff liberalization for these countries provided for in the SAFTA agreement one year before 31.12.2008. . .