India,Japan to work for Comprehensive Economic Partnership Agreement

Tokyo, Dec 15 (UNI) India and Japan today decided to launch negotiations for a bilateral Economic Partnership Agreement/ Comprehensive Economic Partnership Agreement (EPA/CEPA) that will cover trade in goods and services, investment flows and other areas of economic partnership.

This was agreed to at the summit-level talks between Prime Minister Manmohan Singh and his Japanese counterpart Shinzo Abe here this afternoon.

The negotiations will be conducted by a Joint Task Force on the basis of the recommendations of the Joint Study Group that was set up for the purpose and will be completed in about two years.

A joint statement, issued after the summit meeting, said the two leaders were convinced that comprehensive economic engagement between the two nations must be a core element of their strategic partnership.

It also recognised that closer economic integration between Japan and India would contribute to further growth and stability in the broader Asian region.

Both the leaders agreed that India and Japan were natural partners with a mutual stake in each other's progress and prosperity.

The two sides also agreed to intensify cooperation under Japan's Overseas Development Assistance (ODA) programme, particularly in piority sectors such as infrastructure, environment, social development and human resource development.

The Prime Ministers decided to set up an India-Japan Special Economic Partnership Initiative (SEPI), even as the EPA/CEPA is negotiated.

SEPI will promote enhancement of investment from Japan to India and help develop India's infrastructure and manufacturing capacity.

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