Bangalore: India has started negotiations for Free Trade Agreement (FTA) with Bangladesh, and is also studying the possibilities for trade and economic co-operation agreements with China, an External Affairs Ministry official said today (Jan 21, 2004).

As part of India's "Look East" policy, New Delhi has concluded negotiations for FTA with Thailand, M P Gavai, Director (Investment and Trade Promotion), Ministry of External Affairs, said.

"Negotiations are going on for a comprehensive economic co-operation agreement with Singapore," Gavai told an interactive meeting with Indian Commercial Representatives from West European countries, organised by the Federation of Indian Export Organisations (FIEO).

FTA negotiations with ASEAN (Association of South East Asian Nations) would begin soon, he said, adding India is studying the possibilities for trade and economic co-operation agreements with China, which is emerging as a major trade partner for New Delhi.

Preferential Trade Agreement (PTA) with Iran is under consideration, Gavai said. "We have signed framework agreements for co-operation with South African Customs Union and COMESA of Africa and with MERCOSUR and Andean Community in South America and these should lead to FTA agreements."

Noting that India has already signed an FTA with Sri Lanka, which has become a successful trendsetter, he said New Delhi is now moving to the next stage to sign a comprehensive economic co-operation agreement with the island nation.