Paperless trade to cut APAC nations' trade costs by 25%: ICRIER, RIS

Such trade is gaining momentum in the region, with the Framework Agreement on Facilitation of Cross-Border Paperless Trade in Asia and the Pacific (CPTA) being a key driver, the report by the Indian Council for Research on International Economic Relations (ICRIER) and Research and Information System for Developing Countries (RIS) noted.

Countries joining this agreement benefit from streamlined trade procedures, lower logistics costs and improved regulatory cooperation. As of January 2025, 16 countries are a part of the CPTA.

Though India has implemented multiple domestic reforms, including the Single Window Interface for Facilitating Trade (SWIFT) and electronic handling of indirect tax documents, it is yet to join CPTA.

"Digitalisation has transformed India's trade ecosystem, but the next step lies in seamless cross-border integration," said Arpita Mukherjee, professor, Indian Council for Research on International Economic Relations (ICRIER).

Becoming a signatory to CPTA would enhance India's global trade integration, and especially benefit exporters and micro, small and medium enterprises (MSMEs) by reducing red tape and simplifying customs procedures, the report, launched during the second Asia-Pacific E-commerce Policy Summit organised by ICRIER and the United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP) in New Delhi, noted.

Joining CPTA would offer India policy flexibility without the need to immediately overhaul laws or systems, allowing gradual implementation of reforms aligned with international standards and enhanced capacity-building, it said.

The country’s logistics performance and digital trade facilitation measures have steadily improved, but gaps remain in legal and technical readiness, particularly regarding interoperability with other countries' systems and cross-border data exchange, the report added.

ALCHEMPro News Desk (DS)