Sharp rise in Certificates of Origin issued signals growing use of trade pacts for tariff advantages
Indian exporters are increasingly benefiting from Free Trade Agreements (FTAs) with the United Arab Emirates (UAE) and Australia, as reflected in the rising number of preferential Certificates of Origin (CoOs) issued in FY 2024-25. These certificates are crucial for exporters seeking preferential tariffs under respective FTAs, reported thehindubusinessline.com.
According to the Commerce Department, CoOs issued under the India-Australia FTA jumped by 19.07%—from 64,864 in 2023-24 to 77,234 in 2024-25. Similarly, under the FTA with the UAE, certificates issued grew 24.66%—from 98,104 in 2023-24 to 122,036 in 2024-25.
In total, India issued 7,20,996 preferential CoOs in 2024–25, up from 6,84,724 the previous year. Officials attribute this consistent rise to increased outreach, simplified procedures, and deepening trade ties. The certificates play a key role in enhancing Indian exporters’ competitiveness by facilitating easier access to global value chains.
India issued over 2 lakh CoOs under FTAs with UAE and Australia in 2024–25, boosting exports by enabling preferential tariff benefits
The UAE, with which India signed a comprehensive FTA in 2022, saw stronger growth in certificate issuance. Monthly data from April and May 2025 further confirmed this trend: CoOs under the India-UAE FTA surged 35.4% in April and 28.3% in May. By comparison, CoOs under the India-Australia pact—currently interim and limited mainly to goods—rose 13.3% in April and 7.4% in May.
India and Australia are presently negotiating a full-scale Comprehensive Economic Cooperation Agreement (CECA).
The Commerce Department is also addressing low FTA utilisation issues with other partners such as ASEAN, South Korea, and Japan. Efforts are focused on reducing regulatory barriers and compliance costs to improve FTA effectiveness across the board.
