India-Japan CEPA Meeting | 07 Mar 2026

Source: PIB 

The 7th Joint Committee Meeting under the India–Japan Comprehensive Economic Partnership Agreement (CEPA) was held in Tokyo to review implementation issues and discuss enhancing bilateral economic engagement. 

• Discussions covered a wide range of issues, including bilateral trade and investment, improving the business environment, and preparations for the upcoming 14th Ministerial Conference (March 2026, in Yaoundé, Cameroon) of the WTO. 

India–Japan CEPA 

• About: The India-Japan CEPA, which came into effect in August 2011, is a landmark bilateral trade pact that covers trade in goods, services, movement of natural persons, investments, intellectual property rights (IPR), customs procedures, and other trade-related issues. 
• Tariff Elimination: The agreement envisages the abolition of tariffs on over 94% of items traded between the two countries over a period of 10 years. 

India–Japan Economic Relations  

• Bilateral Trade Volume: Total trade stood at USD 22.85 billion in 2023-24. Exports from Japan to India were USD 17.69 billion, while Indian exports to Japan were USD 5.15 billion, indicating a substantial trade deficit for India. 
• Trade Share Rankings: India ranks 18th in Japan's total trade (1.4% share) while Japan ranks 17th in India's total trade (2.1% share). 
• FDI Inflows: Cumulative Japanese FDI into India from 2000 to December 2024 stands at approximately USD 43.2 billion, making Japan the 5th largest source country for FDI into India. 
  • Japanese FDI is primarily concentrated in the automobile, electrical equipment, telecommunications, chemicals, financial services (insurance), and pharmaceuticals.