- India’s engineering exporters seek removal of non-tariff barriers within BRICS nations
- Simplified trade regulations and local currency payments could ease export challenges
- EEPC India urges BRICS to adopt common standards for smoother cross-border trade
India's engineering exporters have called for removing non-tariff barriers and creating smoother payment mechanisms in local currencies among BRICS nations to unlock greater trade within the bloc.
Pankaj Chadha, chairperson of the Engineering Export Promotion Council of India, said around 75% of the problems faced by exporters could be addressed through simpler trade regulations and efficient payment systems.
Chadha urged BRICS countries to move beyond discussions and establish a common framework for non-tariff barriers. He proposed that member nations agree on a common set of standards to make cross-border trade easier.
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"While we have been discussing this for a while now, it is time to move to its execution,” Chadha said.
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Non-tariff measures, including regulatory requirements and product standards, often increase the cost and complexity of exporting. EEPC India said addressing these hurdles could therefore have a significant impact on trade among BRICS economies.
The bloc currently accounts for nearly one-fourth of global trade, according to EEPC India. Removing regulatory barriers could help increase its share of global cross-border commerce.
The engineering sector stands to gain significantly from such measures. Engineering products account for nearly 27% of India's total merchandise exports, based on the latest available official data.
Among the major BRICS economies, Brazil, China, Indonesia, Saudi Arabia and South Africa are important destinations for Indian engineering exports.
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A more efficient payment system using individual national currencies could further reduce friction for exporters by making cross-border settlements faster and more predictable.
India is currently hosting the BRICS Summit, providing a platform for discussions on trade and economic cooperation.
EEPC India's call comes as member countries explore ways to deepen intra-BRICS commerce and strengthen economic integration.
(With PTI inputs)
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