.png)
Mother of All Trade Deals: What It Means for Global Trade and India
- Ripradaman R
- 1 day ago
- 2 min read
Introduction
The “Mother of All Trade Deals” refers to a mega trade agreement covering a massive share of global trade and GDP.
It aims to reduce tariffs, increase exports, and deepen economic integration among major economies.
This deal could reshape global supply chains and trade flows for decades.
Global Trade Coverage at Unprecedented Scale
This agreement covers a significant portion of global commerce.
Encompasses nearly one-third of global trade
Connects some of the world’s largest economies
Creates a unified trade framework across multiple regions
Also Read:
Economic Impact on Global GDP
The deal represents a major share of global economic output.
Covers economies contributing around 25% of global GDP
Strengthens trade ties between the 2nd and 4th largest economies
Encourages cross-border investments and capital flows
Tariff Elimination and Trade Liberalization
A key feature is the removal of tariffs on thousands of products.
Tariffs abolished on 9,000+ export product lines
Lower costs for exporters and importers
Increased competitiveness of participating countries
Interesting Read:
Boost for India’s Export Potential
The agreement unlocks major opportunities for Indian exporters.
Preferential access to exports worth $75 billion
Improved market access for manufacturing, textiles, and agriculture
Enhanced integration into global value chains
Connect on LinkedIn:
Strategic Geopolitical Significance
Beyond economics, the deal has geopolitical implications.
Strengthens alliances among major economies
Reduces dependency on single-country supply chains
Positions participating nations as key global trade hubs
Risks and Challenges to Watch
Despite benefits, the agreement also brings challenges.
Domestic industries may face higher competition
Small exporters may struggle with compliance requirements
Geopolitical tensions could influence implementation
Watch This Video:
Conclusion
The “Mother of All Trade Deals” is a landmark global trade agreement with far-reaching economic and geopolitical implications.
For India, it offers major export growth opportunities but also requires stronger competitiveness and policy support.
FAQ
1. What is the Mother of All Trade Deals?
It is a large-scale international trade agreement covering a significant share of global trade and GDP.
2. How much global trade does it cover?
It covers roughly one-third of global trade.
3. What is the impact on India?
India gains preferential export access worth billions, improving global market penetration.
4. What happens to tariffs under this deal?
Thousands of tariff lines are abolished, reducing trade barriers.
5. Are there risks for domestic industries?
Yes. Increased foreign competition may impact less competitive local sectors.
Citations
World Trade Organization (WTO)
International Monetary Fund (IMF)
World Bank Global Trade Reports
Ministry of Commerce and Industry, India
OECD Trade Policy Outlook
Comments