The success or failure of this round will shape how the two sides proceed, especially on difficult issues that have long blocked progress….reports Asian Lite News
India and the European Union on Monday launched negotiations on a free trade agreement (FTA), with both sides pushing to wrap up the deal before the year-end deadline, even as US tariff upheavals inject fresh uncertainty into global trade, official sources said.
The outcome of this round of negotiations will be crucial in determining the next steps, as both sides weigh the possibility of breaking the deadlock on unresolved issues.
Following the negotiating round, Commerce and Industry Minister Piyush Goyal will also hold talks with Maros Sefcovic, Commissioner of the European Commission for Trade and Economic Security, who will also be in India on September 12.
The negotiations have gathered further momentum after trade talks figured in a phone call on September 4 between Prime Minister Narendra Modi and European Council President Antonio Costa, and European Commission President Ursula von der Leyen. The EU leaders pushed for concluding the negotiations by the end of the year.
Both the 13th and 14th rounds of talks, to be held in Brussels from October 8, will focus on more substantial issues such as technical barriers to trade, sanitary and phytosanitary issues, market access, rules of origin, and public procurements. The two sides have also made progress in evaluating each other’s offers on services and investments, which were exchanged in July.
India has made it clear that agricultural and dairy products are a livelihood issue for the country’s farmers and have to be kept out of the free trade pact, and the EU, on its part, is seeking access to the Indian market for automobiles and alcoholic beverages.
Meanwhile, India also stands ready to engage with the US for a mutually beneficial multi-sector bilateral trade agreement in which the country’s core interests in sensitive sectors like dairy, agriculture, fisheries and MSMEs will be protected, official sources said.
India remains committed to increasing the two-way trade, keeping the interests of these sectors in mind and is looking for a fair, equitable, balanced trade with reciprocity, sources said.
India and Qatar may also conclude the terms of reference for their bilateral FTA early next month. Commerce Minister Piyush Goyal may visit Qatar in the first week of October if terms of reference for the FTA are finalised, sources said.
