Correct Answer:

C (Both 1 and 2)

Explanation of Statements/Options:

Statement 1 is correct:  
 • The Regional Comprehensive Economic Partnership (RCEP) is indeed a comprehensive free trade agreement.
 • It involves the ASEAN member states, which include countries like Indonesia, Malaysia, Philippines, Singapore, Thailand, and others.
 • RCEP also includes ASEAN's free trade agreement partners, which are China, Japan, South Korea, Australia, and New Zealand.
 • The agreement aims to create a large free trade area, covering a significant portion of the global economy and population.

Statement 2 is correct:  
 • India was initially part of the RCEP negotiations but decided to opt out in November 2019.
 • The decision was based on concerns about the potential impact on its domestic industries and agriculture, fearing an influx of cheaper goods.
 • India also had concerns about the lack of adequate protection against import surges and insufficient safeguards for its services sector.
 • Despite opting out, India has expressed interest in joining RCEP in the future if its concerns are addressed.