South Korea and India Pledge Closer Cooperation in Customs Affairs
Key Takeaways
- •The Korea Customs Service and India's CBIC held a meeting in New Delhi on Tuesday where they agreed to strengthen bilateral customs cooperation.
- •South Korean officials presented specific cases of customs-related difficulties that Korean companies have faced while operating in India.
- •The two countries discussed expanding cooperation through joint training programs for customs personnel.
- •South Korea and India have maintained a Comprehensive Economic Partnership Agreement since 2010, which was India's first free trade agreement with an OECD member nation.
- •The push for closer customs ties reflects a broader trend of South Korean manufacturers diversifying production bases beyond China, with India emerging as a key destination.
The Korea Customs Service (KCS) announced Wednesday that it has reached an agreement with its Indian counterpart to strengthen bilateral cooperation in customs affairs and facilitate smoother trade between the two nations.
The announcement followed a meeting held on Tuesday in New Delhi, where KCS officials convened with representatives from India's Central Board of Indirect Taxes and Customs (CBIC). During the talks, the KCS formally requested that the Indian government provide support to ensure smooth customs clearance procedures for South Korean companies operating in or exporting to India.
South Korean officials presented specific cases in which domestic firms based in India have encountered customs-related difficulties, according to the KCS. The two sides also discussed avenues for expanding bilateral cooperation, including the development of joint training programs for customs personnel.
"With India being a major partner in the Asia-Pacific region, the two countries intend to bolster cooperation down the road to address hurdles facing South Korean firms seeking to export to India," Han Min, director general for international affairs at the KCS, said in a release.
South Korea and India have maintained a Comprehensive Economic Partnership Agreement (CEPA) since 2010, which serves as the foundational trade framework between the two countries. The pact was the first free trade agreement India signed with an OECD member country. India has become an increasingly important trade and investment destination for South Korean businesses, particularly in sectors such as electronics, automobiles, and steel, where conglomerates including Samsung, LG, Hyundai, and POSCO have established significant manufacturing and commercial footprints in the country.
The push for closer customs cooperation also reflects a broader trend of South Korean manufacturers diversifying supply chains and expanding production bases beyond China, with India emerging as a key beneficiary of that shift under its own domestic manufacturing push.
The KCS said it plans to continue engaging with Indian customs authorities to resolve operational challenges and further streamline cross-border trade processes.
(Yonhap)
