It has urged for integration of Asian economies and said that Asia can play a defining role in the 21st century. The second round of negotiations for Regional Comprehensive Economic Partnership (RCEP) among east and south-east Asian and Pacific countries will take place in Australia in September, this year. Prior to this business leaders of East Asia Summit will meet in Brunei in August 19.

Addressing the plenary session of the 4th Asian Business Summit here on Wednesday, the Indian Commerce and Industry Minister Anand Sharma urged for integration of Asian economies in the hour of the global slowdown and hoped that Asia can play a defining role in the 21st century.

He said the recommendations of the 4th Asian Business Summit will be used as inputs for the forthcoming meeting of business leaders of East Asia Summit scheduled in Brunei on August 19. This would be followed by the second round of negotiations for RCEP in Australia in September, this year.

The first and the second Asian Business Summit were held in Tokyo in 2010 and 2011. The third Asian Business Summit was held in Bangkok in July 2012

The RCEP, launched at East Asia Summit in 2012, aims to be the largest free-trade bloc in the world, comprising all 10 ASEAN nations and the 6 other countries with which the group has free-trade agreements (FTAs)—China, India, Japan, South Korea, Australia, and New Zealand.

Sharma invited Asian countries to invest in 13 industrial townships and manufacturing zones. With a view to rectify the trade balance with China, India will urge for market access for IT and pharmaceutical products in Chinese market at the forthcoming India-China Joint Working Group on trade scheduled in Beijing.

He also announced to enhance rate of interest subvention scheme for Indian exports from existing 2% to 3% with a view to reverse the declining trend in exports. The scheme will cover the entire micro, small and medium enterprises (MSME) besides some other sectors, including handlooms, handicraft, carpets, toys and sports goods, processed agricultural products, readymade garments, 235 tariff lines in Engineering Sectors and 6 tariff lines in Chapter 63 of ITC(HS) (textiles made ups).

He said Director General of Foreign Trade and Commerce Secretary are engaged in the process to review widening of the coverage of the benefits. Sharma said the government is making available resources to clear all claims of exporters till date. He said the announcements will be effective from tomorrow.

On widening trade account deficit, the Commerce Minister hoped that the recent interventions made by the government will get reflected positively in the trade data of the coming months. He also mentioned that the Board of Trade will meet on August 27 to discuss steps how to improve exports further.