Is it Time for India to Adopt the Convention on the Sale of Goods?

Abstract

This century has been described by governments around the world as the Asian century. The resulting effect has seen Asia as the fastest-growing region economically. The recent acceptance of both the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Transpacific Partnership (TPP) and also the Regional Comprehensive Economic Partnership (RCEP) has reinforced the consolidation of trade in this region of the world. While India has yet to sign up to these trade agreements, their strategic importance in the region will only continue to grow. Thus, one question is whether it is time for India to ratify the Convention on the International Sale of Goods (CISG)? There have been calls for India to adopt the CISG that date back to more than a decade ago. Importantly, a development in relation to adoption of the CISG in the region is taking place. Recently, Vietnam and North Korea have acceded to the Convention. India, unfortunately, is one of the few important economic nations which has not yet signed the Convention. This article will argue that it is indeed in India’s interest, if not a necessary step, also to sign the Convention. However, it is also understood by the authors that further economic and legal analysis is likely needed by India to fully appreciate and understand the benefits afforded by the CISG.