India and Uruguay ratify cooperation and mutual assistance in Customs matters

The Agreement is also expected to facilitate trade and ensure efficient clearance of goods.

The Dollar Business Bureau

The Union Cabinet, chaired by the Prime Minister Narendra Modi has approved signing and ratifying an Agreement between India and Uruguay regarding Cooperation and Mutual Assistance in Customs Matters.

The Agreement will help in the availability of relevant information for the prevention and investigation of Customs offences. The Agreement is also expected to facilitate trade and ensure efficient clearance of goods traded between the countries.

The draft Agreement takes care of Indian Customs' concerns and requirements, particularly in the area of exchange of information on the correctness of the Customs value declared, the authenticity of certificates of origin of goods and the description of the goods traded between the two countries.

The Agreement would provide a legal framework for sharing of information and intelligence between the Customs authorities of the two countries and help in the proper application of Customs laws, prevention and investigation of Customs offences and the facilitation of legitimate trade. The draft text of the proposed Agreement has been finalised with the concurrence of the two Customs Administrations.

Uruguay is an important trading partner of India among members of the MERCOSUR, a trading block in Latin America. India signed a Preferential Trade Agreement (PTA) with the MERCOSUR which came into effect from 1st June, 2009. Trade between India and the Uruguay has been expanding gradually. India exports chemicals, garments, vehicles, sound and image devices, pharma, iron and steel, synthetic yarn, equipment and machinery, while it imports wool, leather and timber.  

Uruguay and India share a healthy trade history in terms of services. The Indian software company TCS was the first to open its Global Delivery Centre in 2002 in Montevideo employing around 800 Uruguayans and 60 Indians. Following suit Tata Motors had started its operations in May 2015. Other than these there are other business interests of Indian companies related to mining iron ore, instant messaging solutions and applications for mobile phones, with a consortium of Indian vegetable oil companies showing keen interest to invest in the agribusiness of Uruguay.

The Dollar Business Bureau - Jan 04, 2017 12:00 IST
 
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