23 September Saturday
Trade deficit, unemployment and economy is set to take hit

CPI(M) warns govt against entering into RCEP agreement hurriedly

Web Desk‌Updated: Sunday Nov 3, 2019
New Delhi : CPI(M) politburo has urged union govt not to sign  RCEP agreement in a haste. BJP govt is presently engaged in negotiating the final stages of the Regional Comprehensive Economic Partnership (RCEP) agreementl, without consultations with concerned sectors or discussing it with state governments.
The secretive manner in which BJP proceeds  without even discussing RCEP in parliament, is condemnable, CPI(M) polutburo  said.
Following a politburo meeting, CPI(M) also announced its support for all-India protest called by Farmers Union, in this regard, on Monday.
Signing of the free trade agreement will take its toll on agricultural economy and India's small and medium scale enterprises. Unemployment and living conditions will worsen.  Trade deficit will widen,

Governments trials at opening up Indian economy has seen country's deficit spiking rapidly.
India presently sits on $ 18,400 crore. With trade deficit already existing between India and member RCEP countries, signing  the agreement could widen the gap further.

The country already reels under economic slowdown. Rural economy is hard-hit.  Under these circumstances. taking a plunge into the world's largest trade deal could mean unrestrained imports, thereby sending country's investments, real estate and  e-commerce  sectors to shambles,the politburo meeting observed.

It will also limit government's ability to deal with economic slowdown that has eaten into the system.
RCEP is a regional free trade agreement of 16 Asia-Pacific countries spanning India to New Zealand.