New Delhi, Aug. 6 -- India and the Philippines exchanged terms of reference for a Preferential Trade Agreement (PTA) on Tuesday, marking a significant step toward enhancing bilateral trade relations between the two nations.

The agreement will build upon the existing liberal terms established under the Asean-India Trade in Goods Agreement (AITIGA), which has been operational since 2010.

The Philippines, as a member of the Association of Southeast Asian Nations (Asean), is already covered under AITIGA. The new PTA will allow both countries to fine-tune trade concessions specifically designed to boost bilateral commerce.

According to P. Kumaran, Secretary East in India's Ministry of External Affairs, the discussions focus on securing grea...