NEW DELHI: The early conclusion of a trade deal between India and the European Union (EU) can make a “big difference” in efforts to stabilize the global economy and strengthen democratic forces, Foreign Minister S Jaishankar said on Wednesday.
Jaishankar made the remarks after meeting a key EU group visiting India for negotiations to promote the conclusion of a free trade agreement (FTA), just over two months before the deadline set by leaders of both sides to seal the deal.
“We discussed how India and the European Union can maximize convergences and deepen cooperation. This can stabilize the global economy and strengthen democratic forces,” Jaishankar said in a social media post.
“The early conclusion of the India-EU FTA can make a big difference in achieving these goals,” he said.
Jaishankar’s remarks come at a time when there has been little progress in trade talks between India and the United States, amid unprecedented 50% tariffs imposed by the Trump administration.
Last month, Prime Minister Narendra Modi and European Commission President Ursula von der Leyen reaffirmed their commitment to finalizing the trade deal by December. The target was set during von der Leyen’s visit to India in February with the EU’s college of commissioners.
The EU is India’s largest trading partner, with bilateral trade in goods worth $135 billion in 2023-24. The FTA is expected to significantly strengthen bilateral trade.
India and the EU concluded the 14th round of FTA negotiations in Brussels on October 10. Following the negotiations, the EU said the discussions were focused on consolidating an economically meaningful market access package.
The two sides have already concluded negotiations on a dozen chapters, including customs and trade facilitation, dispute resolution, digital trade, sustainable food systems, small and medium-sized enterprises, competition, subsidies and capital movements.
The delegation of members of the European Parliament will also engage with various stakeholders to assess the opportunities and challenges posed by the trade negotiations.
Commerce Minister Piyush Goyal visited Brussels earlier this week to meet senior EU officials to discuss the trade deal. EU Ambassador Hervé Delphin spoke of Goyal’s visit and said “substantial progress” had been made in the negotiations.
“The EU and India are in continuous negotiation mode, with the aim of reaching an agreement by the end of the year,” Delphin said on social media.
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