News: APEC World leaders met virtually and discussed the measures to be taken for global vaccination efforts and fighting the Covid 19 with double force citing the rising cases of Delta variant. Read news here.
Everything about APEC from UPSC perspective:
Looking at the growing interdependence of the countries in the ASIA and PACIFIC ocean region, the APEC (Asia Pacific Economic Cooperation) was established in 1989. This was done particularly to strengthen the regional economic cooperation and to formulate policies and rules for the benefit of the member countries. Moreover, it’s interesting to note that APEC was formed after it took inspiration from the success of the ASEAN group, which was formed in 1967.
APEC Member economies are: 12 founding members established APEC in 1989. By 1998, 21 countries became their members. Currently, APEC has 21 member economies: Australia; Brunei Darussalam; Canada; Chile; People’s Republic of China; Hong Kong, China; Indonesia; Japan; Republic of Korea; Malaysia; Mexico; New Zealand; Papua New Guinea; Peru; The Philippines; The Russian Federation; Singapore; Chinese Taipei; Thailand; the United States of America and Viet Nam.
It represents two-thirds of the world’s population; about 50 percent of global trade and around 60 percent of total world GDP.
The Countries in green color are the member economies of APEC. Here you can remember that those countries which touch the pacific ocean are the members of APEC. The word ‘economies’ is used to describe APEC members because the APEC is primarily concerned with trade and economic issues. APEC ensures that goods, services, investments, and people move easily across borders. Members facilitate this trade through faster customs procedures at borders and a more favorable business environment. All in all, Apec is only concerned about increasing growth and development and is least interested in the political affairs of the members.
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India is not a member of APEC, though India was granted observer status in 2011. But full membership is not a reality yet. India’s request for membership was supported by countries like the USA, JAPAN, AUSTRALIA but the officials decided not to grant it’s membership. They gave the reason that India does not border the Pacific Ocean which all the other APEC members do. Currently, APEC has 3 observers: the Association of Southeast Asian Nations (ASEAN); the Pacific Economic Cooperation Council (PECC), and the Pacific Islands Forum (PIF) Secretariat.
UPSC exam possible questions related to APEC:
- Which of the following statements are correct?
a) For APEC membership, countries need to border the Pacific Ocean.
b) there are 21 member countries that are part of APEC established in 1989.
c) Brunie, China, Mexico, India, USA are part of APEC.
A) only a
B) only a and b
C) All are correct
Ans: (A) only a:
Explanation: APEC consists of 21 member economies and not countries. India is not a part of the APEC trade bloc.
2. Though not a member of APEC, how do these trade blocs affect the economic relationship with the members of these groups? What actions should India take to get closer access to these groups?
3. How will APEC’s membership contribute to India’s economy?
More on this website for your UPSC Preparation:
INTERNATIONAL RELATIONS: https://currentaffairsupsc.in/international-relations/
SCIENCE AND TECHNOLOGY: https://currentaffairsupsc.in/science-technology/
ENVIRONMENT & ECO.: https://currentaffairsupsc.in/environment-ecology-and-biodiversity/