New Delhi: Union Minister of Trade, Piyush Goyal, during his three-day official visit to Sweden, said that India and the European Union are “quite close” to finalize the long-awaited free trade agreement (ALE). He added that the only major problem to be resolved between the two is the “non -tariff barriers”.“We are on the right track to achieve this (ALE). Significant progress has been made. More than half of the chapters are ready. In terms of content, I would say that we are almost 90% ready for market access. The important problems to be resolved are non -pricing obstacles and the way in which we are going to make them slower, easier and better to do business between the EU and India,” Reporters here.He added that India and the EU actively discuss the means of facilitating businesses on both sides. Tackling “non-tariff obstacles” is crucial for the proposed free trade agreement (ALE), and the two parties work together to solve these problems, he noted.“Unless countries recognize that the regulations and obstacles to trade will meet with reciprocal action, everyone is suffering from it. We are committed to deregulation, to find solutions at the high cost of regulation, to the non-tariff obstacles that these regulations cause and obstacles to free trade. expressing optimism as to the search for strong solutions.Goyal is on an official visit to Sweden to meet his Swedish counterpart and engage with companies to stimulate trade and investment links between the two countries. Sweden is part of the European Union of 27 members.Several key Indian exports continue to cope with high price barriers high in the EU, including peppers, tea, basmati rice, milk, poultry, beef, fish and chemicals.Countries establish non -tariff measures (NTMS) as domestic regulations to protect human health and environment, animals, plants. These include technical measures, including regulations, standards, tests, certification, pre-ship inspection and non-technical measures such as quotas, import licenses, grants and government supply restrictions.The MNTs turn into non -pricing barriers (NTB) when they become arbitrary and go beyond scientific justification, creating commercial obstacles.Indian exports remain considerably under potential due to TNT in various regions, including EU, the United States, China, Japan and Korea.According to GTRI, the EU has reduced the minimum residual limit (MRL) for tricyclazole in rice at 0.01 mg per kg, compared to its limit of ten times more previous.The EU has established the LMR for B1 aflatoxins in peppers and other spices at 5 to 10 ppb (parts per billion).The Minister confirmed that discussions concerning the services and rules of origin had started. To advance the current FTA talks, the EU Commissioner for Trade and Economic Safety Maros Sefcovic is expected to visit New Delhi on June 28 to 29.On the carbon border adjustment mechanism (CBAM), the Minister of Commerce, Piyush Goyal, said that he was acting as a non -pricing barrier and is “not good” for India. He warned that the imposition of such a tax on carbon would be unfair to the Indian industries and that India should answer if the EU was going forward.“Our discussions take place on the issue to find ways to face this,” noted the minister and said that he hoped that a positive result will emerge.Earlier on February 28, Prime Minister Narendra Modi and the president of the European Commission Ursula von der Leyen have agreed to finalize a free trade agreement (ALE) in the long term by the end of this year, while the concerns increases on the pricing policies of US President Donald Trump.India and the EU block of 27 members resumed AFT negotiations in June 2022 after a break of eight years. In 2024-2025, the bilateral trade in goods between India and the EU reached $ 136.4 billion, with Indian exports to $ 75.75 billion and imports to 60.65 billion dollars, which means that the largest EU negotiation partner in India. The EU represents approximately 17% of Total Exports from India, while India represents 9% of EU world exports. European companies have invested more than $ 117 billion in India, with around 6,000 companies operating in the country. Meanwhile, Indian investments in the EU are estimated at $ 40 billion.Later in the evening, Goyal also attended a dinner organized by the Swedish-Indian Affairs Council and the Indian Embassy, where he met Swedish business leaders. Goyal presented the growing investment potential of India and reaffirmed the country’s commitment to sustainable growth as part of its “zero -effect” manufacturing policy.
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