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India’s Agricultural Trade Relationship with SAARC Countries


Ayaz Khan Naseri, Baljinder Kaur Sidana



The Indian Journal of Economics and Development
Year : 2018, Volume : 14, Issue : 3
First page : ( 473) Last page : ( 480)
Print ISSN : 2277-5412. Online ISSN : 2322-0430.
Article DOI : 10.5958/2322-0430.2018.00159.2

India’s agricultural trade relationship with SAARC countries

Naseri Ayaz Khan*, Sidana Baljinder Kaur
Department of Economics and Sociology, Punjab Agricultural University, Ludhiana-141004

*Corresponding author’s email:

JELCodes F13, O13, Q17.

Online published on 27 September, 2018.


India ’agricultural trade with SAARC member countries was not very impressive as a percentage of its world agricultural trade. The agricultural exports from India to other SAARC countries increased from $1553.61 million in 2005–06 to $5475.26 million in 2014–15. A similar increase occurred in agricultural imports of India from $634.74 million to $1266.88 million. India’s agricultural exports to other SAARC countries were higher as compared to imports, thus the balance of trade was favourable to India except for Afghanistan (2006–15) and Bhutan (2007 and 2008). The compound growth rate of agricultural exports of India with SAARC as a whole came out to be 14.26 per cent per annum at current prices and 7.84 per cent at constant prices which indicated a tremendous increase in agricultural exports to these countries after SAFTA agreement. The agricultural growth in imports at constant prices was negative and non-significant for all SAARC member countries with India except for Afghanistan and Bangladesh which were the major importing countries with respect to agricultural trade. After SAFTA agreement in 2006, no doubt, trade increased in the SAARC region, but lack of proper implementation was observed among SAARC countries. The study suggested that as India’s total agricultural trade multiplied more than three-times after the formation of SAFTA in the region, it should play a key role in the implementation of SAFTA.



Agricultural trade liberalization, growth rate, regional economic cooperation.

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