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Regional Trade Blocks

Def:

Regional economic integration occurs, when two or more countrieswithin a

geographical region create a formal agreement to cooperate in ways

that

facilitate economic development and regional prosperity.

Objective:

To increase free trade within their collective national boundaries

To strengthen their regions ability to compete more effectively in global

markets.

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REGIONAL TRADE AGREEMENTS

FREE TRADE AREA

CUSTOMS UNION

COMMON MARKET

COMPLETE ECONOMIC INTEGRATION

POLITICAL UNION

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FREE TRADE AREA

Least integration

Abolish tarif non!tarif barriers on the intra!region tra"e

Free to i#$ose tarif non!tarif %ro# non!#e#ber&o'ntries(

Eg) SAFTA or SAARC

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CUSTOMS UNION

A*OLIS+ TARIFF AND NON!TARIFF *ARRIERS ON INTRA!REGION

IMPOSE A COMMON TARIFF ON T+E NON!MEM*ER

COUNTR,

Eg) MERCOSUR -So'thern Co##on Mar.et/

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COMMON MARKET

A*SENCE OF TRADE *ARRIERS AMONG MEM*ERCOUNTRIES

COMMON TARIFF ON NON!MEM*ER COUNTRIES

EAS, MO0EMENT OF FACTORS OF PRODUCTION

eg) Carribean Co##'nit1 Co##on Mar.et -CCCM/

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COMPLETE ECONOMIC INTEGRATION

+ar#oni2ation o% #e#bers ta3 rates

Co##on #onetar1 an" Fis&al $oli&1

Co##on &'rren&1

Free 4o5 o% $ro"'&ts an" %a&tors o% $ro"'&tion

Co##on Agri&'lt're an" In"'strial $oli&1

eg) E'ro$ean Union

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POLITICAL UNION

Co##on $arlia#ent

Single State

Single &onstit'tion

Co#$lete e&ono#i& integration Co##on Agri&'lt're6 In"'strial an" Foreign Poli&1

Co##on Fis&al Monetar1 $oli&1(

eg) %or#er USSR(

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Positive Efects o Integration

Tra"e Creation

E&ono#ies o% S&ale

Tra"e Di7ersion

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Treats o Econo!ic Integration

In&rease in $ri&e &o#$etition

Co#$etiti7e 8r#s s'r$assing s#all 8r#s

Tangle A"#inistrati7e $ro&e"'res6 &'sto#s6 te&hni&alstan"ar"s R'les o% origin

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Regiona" Gro#$s in Nort % So#tA!erica

Latin A#eri&an Free Tra"e Agree#ent -LAFTA/

North A#eri&an Free Tra"e Agree#ent -NAFTA/ Carribean &o##'nit1 an" &o##on #ar.et -CARICOM/

Free Tra"e Areas o% A#eri&a -FTAA/

So'thern Co##on Mar.et -MERCOSUR/

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Regiona" Gro#$s in Asia

Asso&iation o% So'th East Asian Nations -ASEAN/

So'th Asian Free Tra"e Agree#ent -SAFTA/

Organi2ation o% the $etrole'# e3$orting &o'ntries -OPEC/

Central Asia Regional E&ono#i& Coo$eration -CAREC/

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Regiona" gro#$s in E#ro$e

E'ro$ean Union -EU/ Central E'ro$ean Free Tra"e Agree#ent -CEFTA/

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Regiona" gro#$s in Arica

East A%ri&an Co##'nit1 -EAC/

E&ono#i& Co##'nit1 o% 9est A%ri&an State -ECO9AS/

E&ono#i& Monetar1 Co##'nit1 o% Central A%ri&a -CEMAC/

So'thern A%ri&an C'sto#s Union -SACU/

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Cross continenta" gro#$s

Asia Pa&i8& E&ono#i& Coo$eration -APEC/ E'ro Asian E&ono#i& Co##'nit1

Co##on5ealth o% In"e$en"ent States -CISFTA/

Trans Pa&i8& Strategi& E&ono#i& Partnershi$ -TPP/

So'th Pa&i8& Regional Tra"e an" E&ono#i& Coo$erationAgree#ent -SPARTECA/

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ASSOCIATION OF SOUTH EAST ASIAN NATIONS

BURMA

THAILAND

INDONESIA

LAOS

MALAYSIA

VIETNAM

PHILIPPINES

SINGAPORE

BRUNEICAMBODIA

8 AUGUST 1967

in BANGKOK

POPULATION:5 MILLION

TOTAL AREA:!"5#i$$i%n &'"(#"

GDP: US ) 7

BILLION

TRADE : US)85BILLION

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OBJECTIVES

To accelerate economic growth, social progress and culturaldevelopment.

To promote regional peace and stability through abiding

respect for justice and the rule of law in the relationship among

countries in the United Nations harter.

!n "##$ %&'%N community established

ASEAN SECURITY COMMUNITY

ASEAN ECONOMIC COMMUNITY

ASEAN SOCIO-CUTURA COMMUNITY

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FUNDAMENTAL PRINCIPLES

MUTUAL RESPECT FOR T&E INDEPENDENCE' SO(ERIGNIT)' E*UALIT)'TERRITORIAL INTEGRIT) %NATIONAL IDENTIT)+

RIG&T OF E(ER) STATE TO LEAD ITS NATIONAL E,ISTENCE FREE FROME,TERNAL INTERFERENCE' SU-(ERSION OR COERCION+

NON.INTERFERENCE IN T&E INTERNEL AFFAIRS OF ONE ANOT&ER+

SETTLEMENT OF DIFFERENCES OR DISPUTES -) PEACEFUL MANNER+

RENUNCIATION OF T&E T&REAT OR USE OF FORCE+

EFFECTI(E COOPERATION AMONG T&EMSEL(ES+

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ASEAN .INDIA

(')%T!*N&+!

&!'N' - T'+N*)*/

%&'%N %N0!0%T'& T(%!N'0 !N

!N0!% UN0'( %&'%N1!N0!% 0!!T%)

%(+!2' (*3'T&

ASEAN!INDIA *IO!INFORMATICS

NET9ORK(INDIA!ASEAN INSTITUTE OF

*IOTEC+NOLOG, IN :AKARTA

ASEAN!INDIA TOURISTIN0ESTMENT GUIDE ALSO

PROMOTING PILGRIMAGETOURISM

LOOK EAST POLIC,

ASEAN!INDIA TRANSPORT

PRO:ECTS6 TRAINING TO T+ERAIL9A, PERSONNEL OFASEAN COUNTRIES

INDIA OFFERED ;

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'N'(/ *N&'(2%T!*N

'N2!(*N4'NT - )!4%T'

+%N',&U&T%!N%5)'

4%N%'4'NT *6

N%TU(%) ('&*U('&

&U&T%!N%5)' 0'2')*4'NT

'%', &T%5!)!T/

5%)! (*%0 4%

0'2')* NU)'%( 'N'(/

&%6'T/ &U51&'T*(

N'T7*(8

%&'%N %& % &!N)'

4%(8'T 5/ "#9:

('0UT!*N *6

&*!*1'*N*4! 0!&%(!T!'&

!4)'4'NT%T!*N *6 %&'%N

(*%0 4% 6*( !NT'(%T!*N*6 %!( T(%2') &'T*(

&!N%*('& *NT(!5UT!*NT* U(%0' !T& !T

!"TH ASEAN SUMMIT

SIN#A$ORE%&' NOV( &'')

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SAARC PREFERENTIAL TRADE AGREEMANTESTA-LIS&ED DECEM-ER /001

AREAS OF COOPERATION

Agri&'lt're an" R'ral De7elo$#ent> +ealth an" Po$'lation A&ti7ities>

9o#en6 ,o'th an" Chil"ren>

En7iron#ent an" Forestr1>

S&ien&e an" Te&hnolog1 an" Meteorolog1>

+'#an Reso'r&es De7elo$#ent> an" Trans$ort(

So&ial Agen"a

Gen"er Relate" Iss'es

Chil"ren an" ,o'th

+ealth an" Po$'lation A&ti7ities

SAARC So&ial Charter

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SAFTAFEATURES

IDENTIFIED ??@ ITEMS FOR EC+ANGE ON TARIFF CONCESSIONS RANGING FROM ;