♦ India has inked terms of reference with the Philippines and the Maldives to start negotiations for free trade agreements (FTAs), the Commerce Ministry said. The terms of reference (ToR) outline the scope and modalities of a proposed trade pact.

♦ With the Philippines, a Southeast Asian nation, negotiations will begin for a preferential trade agreement (PTA), while with the Maldives, it will be for an FTA, the ministry said.

♦ In a PTA, two trading partners either significantly reduce or eliminate import duties on a specific number of goods traded between them. 

♦ India's exports to the Philippines rose 3.11 percent to $2.16 billion in 2024-25, while imports dipped 17.8 percent to $1.17 billion.

♦ The Philippines is a part of the ASEAN bloc, with which India has a free trade agreement in goods. India and the 10-nation bloc are reviewing the trade pact, as it is hurting Indian exports. The pact was signed in 2009. ASEAN countries are Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.