Advanced International Journal for Research

E-ISSN: 3048-7641   •   Impact Factor: 9.11

A Widely Indexed Open Access Peer Reviewed Multidisciplinary Bi-monthly Scholarly International Journal

Call for Paper Volume 7, Issue 1 (January-February 2026) Submit your research before last 3 days of February to publish your research paper in the issue of January-February.
Submit Research Paper Join as a Reviewer

Plagiarism is checked by the leading plagiarism checker TurnItIn

Call for Paper

Volume 7 Issue 1
January-February 2026

Submit your research paper

Indexing Partners
Academia Advanced Sciences Index Bielefeld Academic Search Engine CiteSeer DRJI Google Scholar Independent Search Engine & Directory Network ISI (International Scientific Indexing) Issuu Mendeley Research Networks
RefSeek ResearcherId - Thomson Reuters ResearchGate Scirus Scribd Semantic Scholar UTeM - Universiti Teknikal Malaysia Melaka Wiki for Call for Papers WorldCat Zenodo

Assessing the Effectiveness of the India–ASEAN Free Trade Agreement: A Review of Trade and Investment Outcomes

Author(s) Ms. Anmol Jadav
Country India
Abstract Regional trade agreements play a vital role in assisting these countries in working together. The World Trade Organization is making trading easier for these countries. The India-ASEAN Free Trade Agreement is an agreement between India. It is one of India's major trade agreements. The India-ASEAN Free Trade Agreement comprises a large number of people. More than 1.7 billion people. The India-ASEAN Free Trade Agreement also comprises a large amount of money, with a GDP of USD 2.75 trillion. The India-ASEAN Free Trade Agreement started in 2010. It is part of India's plan called the "Act East Policy." This review amalgamates primary scholarly and policy material relating to AIFTA's effectiveness in encouraging investment and trade between ASEAN and Indian economies. The paper discusses how empirical findings from CGE models and gravity models present conflicting findings. Even though the results of the CGE simulation provide small or negative welfare effects for India due to the negative terms of trade and trade deficit, analyses of the gravity model indicate large trade creation effects and increased volumes of trade. Sectoral analyses also indicate that plantation and manufacturing sectors at India faced competitive pressures and low productivity growth, while the welfare effects were positive for ASEAN countries, especially Malaysia, Singapore, and Thailand. Some other key factors that further keep the potential of AIFTA limited include ongoing non-tariff barriers, Rules of Origin, and partial liberalization in services and investments. Yet, despite all challenges, AIFTA has increased the export destinations of India, especially in textiles, chemicals, and machinery, and moved trade away from non-member economies. The review concludes that the success of AIFTA is contingent upon the removal of structural bottlenecks by rationalizing NTMs, simplifying RoO compliance, and increasing cooperation in services and investment. Improving productivity and scale economies in export-oriented sectors and building stronger bilateral relationships with ASEAN economies that have high growth rates can help improve India’s long-term outcomes from AIFTA
Keywords : AIFTA, India-ASEAN Trade, Augmented Gravity Model, CGE Model, Trade Creation, Trade Diversion, Non-Tariff Measures, Rules of Origin, Regional Integration.
Published In Volume 7, Issue 1, January-February 2026
Published On 2026-02-11
View / Download PDF File

Share this



E-ISSN 3048-7641
CrossRef

CrossRef DOI is assigned to each research paper published in our journal.

AIJFR DOI prefix is
10.63363/aijfr

Downloads
Research Paper Format Copyright Permission Form and Undertaking Form Cover Page Vol 7 Isu 1Cover Page Vol 6 Isu 6Cover Page Vol 6 Isu 5

All research papers published on this website are licensed under Creative Commons Attribution-ShareAlike 4.0 International License, and all rights belong to their respective authors/researchers.

CC-BY-SA Open Access

About AIJFR
Fees & Payment
Current Issue
Publication Archive 		Submit Research Paper
Track Submission Status
Publication Guidelines
Publication Ethics
Peer Review & Plagiarism 		Join as a Reviewer
Editors & Reviewers
Reviewer Referral Program
Get Reviewer Membership Certi. 		Website/Journal Policies
Usage Policy
Content Policies
Privacy Policy
Contact Us +91-9898-79-39-59 editor@aijfr.com