India Afghanistan Free Trade Agreement
The Government of India and Islamic state of Afghanistan referred to as the "contracting Parties". This agreement is given by the department of commerce. These parties agree to establish a trading agreement for reduction of tariffs in movement of goods between the countries.
The objectives of this agreements are:-
- Provides economic growth between India and Afghanistan through the expansion of trade development.
- For removing barriers to trade, to the harmonious development and expansion of world trade.
- Provides fair conditions between India and Afghanistan for competition.
Rules of origin
- All goods covered by this agreement should be eligible for preferential treatment provided they satisfy the Rules of Origin.
- In the industry, for the development of specific sectors either Contracting Party, lower value addition norms for the products manufactured may be considered through mutual negotiations.
- The contracting parties should eliminate the Tariffs."Tariffs" means basic customs duties included in the national schedules of the Contracting Parties
Both of the contracting parties have to agree to establish a preferential trading agreement for movement of goods between both of the countries through reduction of tariffs on the movement of goods.