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India, Japan set to conclude trade pact in 2010: minister

NEW DELHI, April 30, 2010 (AFP) - India and Japan should be able to conclude a free trade pact to liberalise commerce this year, a minister said Friday.
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Once the free trade agreement comes into effect as many 9,000 products -- ranging from steel and clothing to drugs and machinery -- are expected to be traded either without duty or at substantially reduced tariffs.

But the pact would keep a number of items, sensitive to the agriculture and employment-oriented sectors, out of the deal.

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Each side will also have a so-called "negative list" of items on which duties will not be reduced but India's list would be bigger, the Press Trust of India said.

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Bilateral trade between India and Japan has more than doubled over the past four years to about 11 billion dollars in 2008-09, the latest year for which figures are available.

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Talks between the two countries had been bogged down over how much to reduce tariffs by and whether Japan will ease its tight regulations to allow Indian generic drugs.
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But Indian Commerce and Industry Minister Anand Sharma said New Delhi and Tokyo should be able to wrap up a deal in 2010.

"India and Japan ar

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