India-ASEAN Trade Dynamics: A Comparative Analysis Before and After AIFTA

This study examines India's trade dynamics with ASEAN over a 28-year period (1996–97 to 2023–24), analysing import and export trends before and after the implementation of the ASEAN-India Free Trade Agreement (AIFTA) in 2010. Using official trade data from India’s Department of Commerce, the research evaluates changes in trade volume, growth rates, and sectoral patterns to assess AIFTA’s impact. The findings reveal that while the agreement contributed to moderate export growth and greater trade stability, it failed to significantly alter structural trade imbalances or boost long-term competitiveness. Key observations include a declining ASEAN import share despite the FTA, slowing export growth rates, and a persistent trade deficit. The study concludes with policy recommendations for enhancing India-ASEAN trade relations through deeper economic integration and competitiveness-building measures.