India Elected Vice-Chair of Indo-Pacific Supply Chain Council
India has been elected as Vice-Chair of the Supply Chain Council under the Indo-Pacific Economic Framework for Prosperity (IPEF), the Commerce and Industry Ministry announced on Wednesday. This development is part of a broader effort by the 14 partner countries of IPEF to bolster economic cooperation and supply chain resilience in the region.
The inaugural virtual meetings of the Supply Chain Council (SCC), Crisis Response Network (CRN), and Labor Rights Advisory Board (LRAB) represent a significant step towards enhancing the resilience and competitiveness of critical supply chains. These councils aim to better prepare for and respond to disruptions that threaten economic prosperity and to strengthen labor rights.
The Ministry highlighted India's anticipated pivotal role in developing resilient supply chains in the Indo-Pacific region. Sunil Barthwal, Secretary of the Department of Commerce, emphasized at the IPEF Ministerial meeting in Singapore in June 2024 that India, with its skilled workforce, natural resources, and supportive policies, is poised to become a key player in the global supply chain.
The IPEF partners have established three key bodies under the Supply Chain Agreement: the Supply Chain Council, which will focus on sectors critical to national security, public health, and economic well-being; the Crisis Response Network, which will facilitate a collective emergency response to supply chain disruptions; and the Labor Rights Advisory Board, which will work to enhance labor rights and workforce development across regional supply chains.
During the meetings, the partners elected the USA as Chair and India as Vice-Chair of the Supply Chain Council. The Republic of Korea and Japan were elected as Chair and Vice-Chair of the Crisis Response Network, respectively, while the USA and Fiji were elected as Chair and Vice-Chair of the Labor Rights Advisory Board.
The Supply Chain Council has adopted its Terms of Reference and set initial work priorities, which will be further explored at its first in-person meeting in Washington, D.C. in September 2024. The Crisis Response Network is planning a tabletop exercise and its own in-person meeting alongside the Supply Chain Summit. The Labor Rights Advisory Board will focus on strengthening labor rights in IPEF supply chains and advancing the labor provisions in the IPEF Clean Economy Agreement and Fair Economy Agreement.
The IPEF, launched on May 23, 2022, in Tokyo, includes Australia, Brunei, Fiji, India, Indonesia, Japan, Republic of Korea, Malaysia, New Zealand, Philippines, Singapore, Thailand, Vietnam, and the USA. Its goal is to advance growth, economic stability, and prosperity in the region through strengthened economic engagement and cooperation.