Permanent Court of Arbitration will drive more international arbitrations to India: Justice Surya Kant

The establishment of Permanent Court of Arbitration (PCA) in India is likely to push more international parties to choose India as a seat for arbitration, Justice Surya Kant of the Supreme Court said on Sunday..On May 13, the Central government and PCA announced the establishment of PCA office at VK Krishna Menon Bhawan in New Delhi.The PCA, which is an intergovernmental arbitration organisation headquartered in Netherlands' Hague, resolves international disputes involving different States or private parties. .Justice Kant opined that the establishment of a PCA office in Delhi marks another paradigm shift in India's journey towards becoming a hub for international arbitration. "The establishment of a PCA office in India marks another paradigm shift in our journey towards becoming a hub for international arbitration. This development is another testament to India's growing reputation as a preferred destination for dispute resolution. With PCA's presence, we can expect a surge in international parties choosing India as a seat for arbitration, drawn by the credibility and expertise that PCA brings here," he said.He added that this would not only increase the country’s appeal as a venue for international arbitration but also make the process more accessible to Indian businesses and individuals.Justice Kant highlighted the cost and logistical benefits of having a PCA office in India, which would allow parties to access its services without incurring significant expenses."However, this is not just about attracting foreign parties, but also making arbitration more accessible to our own businesses and individuals. No longer will they have to navigate complex logistical hurdles and incur significant costs to access PCA's services. With a local office, we can tap into PCA's expertise and resources right here in India," he said..The Supreme Court judge was speaking at the valedictory ceremony of the 'Conference on International Arbitration and the Rule of Law', organised by the Supreme Court of India to observe its 75th year coinciding with the 125th anniversary of the Permanent Court of Arbitration (PCA)..Justice Kant emphasized that arbitration is swiftly becoming a preferred mode of dispute resolution in India, backed by increasing infrastructural support such as the establishment of the Arbitration Bar of India (ABI). He lauded India's strong commitment to international arbitration, noting that the country was among the first ten signatories to the New York Convention and one of only six Asian nations to sign the Geneva Convention.However, he cautioned against viewing arbitration as a novel concept in India, pointing out that the practice has deep historical roots, with mentions of arbitration in India's ancient adjudication processes..Moreover, PCA is expected to contribute to capacity building through training programs for arbitrators, counsel and other stakeholders, he added. He stressed that these initiatives will strengthen the domestic arbitration framework, enabling India to offer world-class arbitration services.Justice Kant concluded by underscoring the importance of ongoing cooperation between international and domestic arbitration bodies. Such collaboration, he said, is key to maintaining the integrity of arbitration, ensuring that it remains an efficient, cost-effective and accessible.