'No compromise on core interests': India decides not to join RCEP agreement

"The Prime Minister stands firm as key concerns not addressed (in the agreement). There will be no compromise on core interests," sources said.

India has decided not to join the Regional Comprehensive Economic Partnership (RCEP) agreement, with government sources saying the agreement does not reflect its original intent.

"The Prime Minister stands firm as key concerns not addressed (in the agreement). There will be no compromise on core interests," sources said.

The RCEP is an umbrella trade agreement involving 16 countries, including the 10 ASEAN countries and China, Japan, South Korea, Australia, New Zealand and India.

Amid opposition from the Congress, Prime Minister Narendra Modi had earlier said a mutually beneficial Regional Comprehensive Economic Partnership (RCEP), in which all sides gain reasonably, is in interests of India and of all the partners.

Earlier in the day, Congress leader Rahul Gandhi hit out at the government alleging that the proposed free trade deal will flood the country with cheap goods, resulting in millions of job losses and crippling the economy.

His remarks come two days after Congress president Sonia Gandhi launched a blistering attack on the government's economic policies and said signing the RCEP agreement will deal a "body blow" to the economy, resulting in "untold hardship" for farmers, shopkeepers and small enterprises.

ASEAN leaders had originally proposed the idea of RCEP in 2012 when it was endorsed by then Prime Minister Manmohan Singh's Congress-led UPA government — talks began in 2013.

(Inputs from The Indian Express)