No progress on India-Japan trade agreement
No expansion of economic partnership agreement despite visit by Indian Prime Minister
Little progress has been made on the much awaited review of the India-Japan comprehensive economic partnership agreement (Cepa), despite a recent visit to Japan by Indian Prime Minister Narendra Modi. The review was expected to give Indian drug companies more access to the Japanese pharmaceutical market.
Analysts believed that his visit would yield some results on the issue of expanding Cepa, but that did not happen. Under Cepa, which was signed in February 2011, Japan accords national treatment to Indian drug makers vis-a-vis its domestic manufacturers, but does not recognise pharmaceutical products exported by India to that market under a preferential tariff regime in terms of standards and quality.
Indian bulk drug makers have long been trying to enter the Japanese market with their exports, while pharmaceutical ingredient makers have been awaiting approvals from Japan’s regulator, the Pharmaceuticals and Medical Devices Agency. This has proved a major non tariff barrier for Indian drug exporters.
