The report seeks to address the outstanding issues and concerns relating to the South Asian regional integration processes. The study finds that the existing provisions relating to special and differential treatment for the least developed countries (LDCs) are neither meaningful nor enforceable. A key issue has been the steady erosion of preferences of the LDCs in the Indian economy, which serves as the largest market in the region. This is ascribed to India’s participation in extra-regional agreements along with India’s recent announcement of unilateral duty-free and quota-free treatment for all LDCs worldwide.