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Home / Knowledge / News / Textiles / Bilateral trade with EU booms

Bilateral trade with EU booms

20
Mar '08

The EU is the largest trading partner of India and main source of its foreign investments. Bilateral trade between the two has grown substantially in recent years.

India ranks as the 9th trading partner of EU accounting for 1.8 percent of EU exports and imports. In 2006, EU imports from India amounted to Euro 22.4 billion covering mainly textiles and clothing, agricultural products and chemicals.

On the other hand EU exports to India in the same year amounted to Euro 24 billion covering mostly machinery and accounting for 18.9 percent of India's exports and imports.

Although EU is the main partner of India in trade and investment, there is still scope for huge expansion.

The overall trade between EU and India marked a remarkable increase from Euro 47 billion in 2006 to 55.6 billion in 2007. Besides, exports to India from 27 member countries also saw a rise of 21 percent last year to touch Euro 29.4 billion as compared to Euro 24.4 billion in 2006.

Moreover, EU imports from India increased by 16 percent to Euro 26.2 billion in 2007 from Euro 22.6 billion in 2006. Trade surplus of EU with India went up to Euro 3.2 billion last year from 1.8 billion in the year before.

On the whole, the two regions have immense potential to improve bilateral trade in order get mutual benefits. Experts believe that if healthy relations are maintained by way of meeting each others demands, especially of qualitative supplies, both EU and India can achieve their targets and see their respective economies thrive.

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