India is considering designating rare earth minerals, electronics, and pharmaceuticals as critical sectors to safeguard them against potential disruptions in the supply chain. This move precedes the entry into force of the Supply Chain Resilience Agreement of the Indo-Pacific Economic Framework (IPEF), which includes 14 member countries, on February 24, 2024. The agreement requires member countries to identify critical sectors and key goods for cooperation within 120 days of its entry into force.
India has already signed a deal under the US-led framework to mitigate risks of economic disruptions from global supply chain shocks. Legal vetting of the clean and fair economy deals is expected to be completed by February
India recently signed up for the supply chain resilience pillar of the Indo-Pacific Economic Framework for Prosperity and this can help the country join global value chain networks. New Delhi has been careful to join only those aspects of the framework that are deemed to be in the national interest.
IPEF supply chain resilience agreement opens several doors for India- The New Indian Express newindianexpress.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from newindianexpress.com Daily Mail and Mail on Sunday newspapers.
IPEF was launched jointly by the United States and other partner countries of the Indo-Pacific region on May 23 last year largely to counter China’s influence on trade.