Comprehensive India-EU free trade deal to be finalised by 2024

After the World Trade Organisation’s (WTO’s) 12th ministerial meeting, both sides are likely to begin negotiations for the deal in June, according to Indian media reports.

Earlier this month, a team of Indian officials led by commerce secretary BVR Subramanyan were in Brussels to set the road map for the agreement. EU Parliamentarians’ also visited India for discussions.

Formal negotiations between both sides, launched in 2007, were stalled eight years ago over differences on a gamut of issues, as the European bloc insisted on cutting import duty on automobiles and wine. The negotiations were resumed in May 2021.

However, discussions reportedly failed to gather momentum due to the pandemic and the EU’s insistence on inclusion of issues like environment and labour as a part of free trade agreements.

Both sides recently agreed to establish a ‘Trade and Technology Council’, a strategic mechanism to tackle the challenges at the nexus of trade, trusted technology and security, that may deepen their strategic relationship.

The EU is India’s third most important trade partner and one its main investor.

Fibre2Fashion News Desk (DS)