India and Japan Concluded CEPA

India and Japan concluded CEPA (Comprehensive Economic Partnership Agreement) during Indian Prime Minister Manmohan Sigh’s visit to Japan which lasted from 24 to 26th October 2010.  Indian Prime Minister visited Japan to participate in the annual summit meeting between the Prime Ministers of India and Japan.The visit was a part of Manmohan Singh’s three nation tour which included Malaysia and Vietnam besides Japan.

India- Japan CEPA includes fields that range from Trade in goods, investment, trade in services and movement of natural persons to intellectual property, competition, improvement of the business environment and bilateral cooperation.

The India Japan CEPA will increase the cross border flows of goods, persons, investment and services and thus strengthening the bilateral economic relationship and promoting economic development. The India Japan CEPA will bring about increased prosperity and stability to the people of both countries and thus contributing to the peace and prosperity of the Asian region and the international community.

  
India and Japan also signed the Memorandum of Understanding (MoU) on simplifying visa procedures between them which covers Business Visas, employment visas, tourist visas, student visas and short term visas. The MoU is expected to strengthen India Japan CEPA.

India and Japan also agreed to cooperate in developing mines of rare metals and rare earth elements in India. The agreement is important for Japan which was denied the export of earth elements by China.

Both nations also revealed a vision for India-Japan Strategic and Global Partnership in the next decade. A ministerial level economic dialogue between India and Japan was established to give strategic and long term policy orientation to their bilateral economic engagement. India and Japan also decided to speed up negotiations on a civil nuclear deal. India and Japan decided to take several measures in future to excel at bilateral level, regional level and global level.

Through India Japan CEPA, India is trying to set its long term engagement with global powers. CEPA reflects the growing importance of India for Japan. India Japan CEPA is a part of India’s economic diplomacy aimed at gaining influence in East Asia. Active cooperation between India and Japan is needed to check the rising clout of China in pacific region as well as to gain prominence at the world level.