India has further intensified its efforts towards modernizing the ASEAN-India Trade in Goods Agreement (AITIGA) amid an all-time high level of bilateral trade valued at $128.38 billion for 2025–26. It was touched upon at the 23rd ASEAN-India Economic Ministers Consultation held in Manila where India had asked for a more balanced and business-friendly trade and investment framework with ASEAN.
AITIGA Review Takes Centre Stage
The Indian team, headed by Additional Secretary of the commerce ministry Nitin Kumar Yadav, called for the need to wind up the current review process on AITIGA. India contended that the updated agreement needs to boost trade volume, and adjust the current trade imbalance, while becoming more user-friendly and efficient for industry.
AITIGA was signed in 2009 and it became in effect in 2010. The agreement is now under consideration for revision by both sides for its usability and ease of trade. Negotiations will cover topics including Rules of Origin and Market access and customs procedures.
India Seeks Better Market Access
The review also is an opportunity for New Delhi to discuss issues related to differentials in tariffs and market access. Indian enterprises are looking for more export opportunities that are value added, such as pharmaceuticals, engineering products, and agriculture products.
Another crucial aspect of the talks is Rules of Origin. More effective implementation can help prevent that preferential tariffs under the agreement are provided for eligible products while enhancing customs control and discourage any potential opportunities for tariff evasion.
Trade Reaches $128.38 Billion
They have become more significant due to the size of the relationship. India-ASEAN bilateral trade stood at $128.38 billion in 2025-26, with 10.55% of India’s total bilateral trade with ASEAN.
The two-way merchandise trade reported by the statistics of ASEAN had reached $114.1 billion in calendar 2025, which is the difference in the reporting time and statistical basis. India was also ranked as the ASEAN’s eighth biggest trade partner in that same year by the ASEAN statistics.
Supply Chains and Energy Cooperation
The debates went beyond tariffs and into more general than usual economic integration discussions. ERIA organised and presented its work related to energy security, digital and industrial demand, infrastructure and industrial clusters.
Indonesia and ASEAN strengthening trade and investment policy with resilient supply chains may facilitate trade in goods and encourage production linkages in the region. Thus, the review of AITIGA helps to be a part of a broader initiative to enhance South-South economic cooperation between the South and Southeast Asian countries.
FAQs
What is AITIGA?
ASEAN-India Trade in Goods Agreement (AITIGA) is a preferential trade agreement for trade in goods between the members of the ASEAN and India.
How much is India-ASEAN trade?
As per the India’s Commerce Ministry, bilateral trade during 2025–26 was valued at USD 128.38 billion.
What do you mean by Rules of Origin?
The Rules of Origin are criteria used to determine the country of origin of goods and if the goods are eligible for preferential treatment in a trade agreement.
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