The trade regime has undergone massive change with the removal of quantitative restrictions along with rationalisation of the tariff structure. There has been a massive reduction in the number of tariff rates and the peak rate of tariff has been reduced from around 400 per cent to 12.5 per cent for nonagriculture products.
Tariff reform for agriculture products has been constrained by the intransigence of developed countries in reducing their farm subsidies. Internationally, India has always participated actively in WTO negotiations. More recently, reflecting the hiccup in the achievement of consensus for further global trade reforms, India has also began to participate in a number of regional and bilateral trade agreements that are in the making.