It is possible that agreements between a small group of countries like RCEP and TPP
may be able to calm some of the concerns of the “noodle bowl” effect of overlapping
smaller FTAs and achieve an overarching set of free trade principles. This is particularly the
case for ASEAN as besides the regional FTAs, the member countries are also pursuing
their own bilateral ones (Table 4). This has reduced the potential benefits from economic
integration since the private sector has to devote attention to different rules and regulations,
in turn increasing the cost of utilizing preferential concessions. It is argued that
RCEP should gear itself towards encouraging rationalisation and flexibility of rules of origin
(ROOs). Gains can be gained from a simplified approach to ROO in East Asia, involving
harmonised ROOs, co-equality of rules and accumulation of value contents (Kawai and
Wignaraja, 2011)5