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配送条件

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Free Trade Agreement (FTA)

Did you know? Free trade agreements enable ₹35,000 crores in preferential trade each year. Freight forwarding companies help customers save 5-25% on duties by ensuring proper use of FTAs and compliance with origin rules across India's 15+ trade agreements.


FTA Portfolio and Market Access

India has a wide FTA network, including agreements with ASEAN, Japan, South Korea, Singapore, Thailand, and Malaysia. These agreements provide preferential access and duty reductions across various sectors. Each agreement has specific benefits, rules of origin, and compliance requirements that differ by product category and destination market. Freight forwarding companies have expertise in multiple FTAs. They help customers find the best agreements, check eligibility, and follow compliance steps to maximize duty savings, while also ensuring they meet regulatory requirements and gain market access.


Rules of Origin and Compliance Management

To benefit from FTAs, companies must follow strict rules of origin. These include value-addition thresholds, manufacturing processes, and documentation needs, which can vary greatly between agreements and product categories. Compliance costs usually range from ₹5,000 to ₹25,000 per shipment, covering documentation, certification, and audit requirements. Freight forwarding companies provide assessments of origin, compliance advice, and documentation support. This ensures FTA eligibility while managing compliance costs and keeping ready for customs checks and origin verification.


Strategic Implementation and Business Benefits

Using FTAs effectively requires careful planning. This includes designing supply chains, making sourcing choices, and developing market entry strategies to make the most of agreement benefits while meeting origin and compliance requirements. Freight forwarding companies work with customers to create FTA strategies, evaluate implementation costs, and maximize the advantages of trade agreements through integrated planning and compliance management. Business benefits include lower duty costs, better competitiveness, wider market access, and greater profits through consistent use of available trade preferences and international trade benefits.

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