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Korea, ASEAN to Start Free Trade in July


South Korea Tuesday signed a free trade agreement (FTA) with nine of the 10 member Association of Southeast Asian Nations (ASEAN).

The agreement is expected to become effective as early as July.

This is Korea’s fourth FTA after pacts signed with Chile, Singapore, and the European Free Trade Association which includes four countries.

Trade Minister Kim Hyun-chong reached a final agreement with nine ASEAN counterparts over the FTA in Manila. However, citing Korea’s willingness to exclude rice, Thailand objected to the accord and did not sign.

It has been 15 months since the two sides began negotiations.

``The agreement will free up trade in goods by 2010. It will also create a new borderless market of 548 million people with a combined economy of more than $1.4 trillion,’’ a ministry official said.


# The Korea Times [May 17, 2006]

By Kim Yon-se
Staff Reporter