South Asia Preferential Trade Agreement Sample Clauses

South Asia Preferential Trade Agreement. South Asia Preferential Trade Agreement, an inter- government group (IGG) is formed by South Asian Association for Regional Cooperation(SAARC) members to negotiation ,incremental tariff reforms between member countries. The goal is to increase trade between Asian countries and to assist less economically advantaged members through preferential treatment. The agreement was signed on 11 April 1993 and entered into the force on 7 December 1995 with the desire of member states of SAARC (India, Pakistan, Nepal, SriLanka, Bagaladesh, Bhutan and the Maldives). The agreement was signed to promote and sustain mutual trade and economic cooperation within the SAARC region through the exchange of concessions. SAPTA specified four negotiating approaches namely, product by product basis, across the board tariff reduction, sectorial basis and direct trade measures. However it was agreed that tariff concessions would initially be negotiated on a product - by- product basis. The agreement also provides for negotiation of tariff concessions to be an ongoing process. The SAPTA envisages that concessions on tariff para-tariff and non- tariff the Agreement on the South Asian Free Trade. The objective of the SAPTA is to promote and sustain mutual trade and the economic co-operation among the member states through exchange of trade concessions. SAPTA therefore is the first step towards higher levels of trade and economic co-operation in the region.
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