The ASEAN-India Trade in Goods Agreement (AITIGA) is a comprehensive, multilateral free trade agreement (FTA) signed between India and the ten member states of the Association of Southeast Asian Nations (ASEAN). It is a component of the broader ASEAN-India Free Trade Area (AIFTA), which also includes separate agreements on Trade in Services and Investment. The agreement was signed on August 13, 2009, in Bangkok, Thailand, and officially came into force on January 1, 2010.
The AITIGA originated from the Framework Agreement on Comprehensive Economic Cooperation signed in 2003, which laid the foundation for establishing an ASEAN-India Regional Trade and Investment Area. The primary problem it aimed to solve was the existence of high customs tariffs and non-tariff barriers, which hindered trade between the two regions.
The agreement works by establishing a legal and tariff framework to govern merchandise trade, mandating the progressive reduction and elimination of duties on a significant portion of goods. Specifically, it aims to liberalize tariffs on over 90% of goods traded between the parties, with a commitment to reduce or eliminate duties on 76.4% of goods. The mechanism includes a tiered system: a Normal Track for the most liberalized products, a Sensitive List for products like textiles and agriculture that receive slower tariff reductions, and an Exclusion List for the most sensitive goods. It also includes provisions for Rules of Origin (ROO) to prevent third-country goods from unfairly gaining preferential tariff benefits.
The AITIGA is closely connected to the ASEAN-India Trade in Services Agreement and the ASEAN-India Investment Agreement, both signed in 2014 and effective from July 1, 2015, which together complete the AIFTA. It is also a key pillar of India's Act East Policy.
The agreement is currently undergoing a significant review process, which began in 2022 and is being accelerated. This review, discussed at the 13th AITIGA Joint Committee meeting in New Delhi in July 2026, aims to modernize the pact to make it more user-friendly, simplify trade procedures, and address India's concerns over a widening trade deficit and the misuse of the Rules of Origin. The core mechanism of tariff reduction remains, but the review focuses on strengthening provisions like Rules of Origin Enforcement (SC-ROO) and Customs Procedures and Trade Facilitation (SC-CPTF) to create a more balanced and sustainable trade ecosystem.