India may opt out of the Regional Comprehensive Economic Partnership (RCEP. The country needs substantial offers in services, including in the area of work visas and easing of movement of workers, for the pact to succeed. Indian industries, including iron and steel, dairy, marine products, electronic products, chemicals and pharmaceuticals and textiles, have expressed concern that the proposed tariff elimination under RCEP would render them uncompetitive. India is also fearful that China will dump its goods into India once the pact is signed. While India may be in a position to be more generous toward Asean, South Korea and Japan, with which it already has trade pacts, the same doesn’t hold true for Australia, New Zealand and most importantly China.

The RCEP, once implemented, could be the largest free trade zone in the world as member countries account for 40 per cent of global GDP, 30 per cent of global trade, 26 per cent of global foreign direct investment flows and 45 per cent of the total population. The 16-member grouping comprises ten Asean countries, China, India, South Korea, Japan, Australia and New Zealand. They are hoping to conclude the agreement by November-end. But India does not want to be hustled.