By Manoj Kumar and Shivangi Acharya
NEW DELHI, Dec 9 (Reuters) – India and the European Union will seek to conclude a long-pending trade deal as soon as possible, New Delhi said on Wednesday, after concluding a new round of negotiations amid signs the year-end deadline may be missed.
Indian Commerce Minister Piyush Goyal met an EU delegation led by European Commissioner for Trade and Economic Security Maros Sefcovic on Monday as the two sides continued their efforts to seal the deal, the statement said.
Both sides have been pushing for a sweeping trade deal after European Commission President Ursula von der Leyen and Prime Minister Narendra Modi agreed earlier this year to accelerate negotiations toward an end-of-year target.
Negotiations restarted in 2022 have accelerated since US President Donald Trump imposed tariff increases on his trading partners, including India. Brussels has concluded agreements with Mexico and Indonesia and intensified negotiations with India.
Once implemented, the agreement could further increase bilateral trade between India and the EU, which reached 120 billion euros ($139.75 billion) in 2024, with the balance in favor of India.
Officials, however, said that despite the political will to reach a deal, many questions still remained unanswered.
“Progress has been uneven, with key differences persisting on tariffs, market access and the enforceability of sustainability commitments,” said an official close to the trade negotiations.
Issues related to steel, automobiles, carbon taxes and other EU regulations require deeper discussions due to sensitivities on both sides, an industry source said.
The EU wants deep tariff cuts on cars, medical devices, wine, spirits and meat, as well as tougher rules on intellectual property, while India wants duty-free access for labor-intensive products and faster recognition of its growing auto and electronics sectors, officials said.
Discussions on investment protection and geographical indications are taking place in parallel. The FTA covers 23 chapters, 11 of which were closed in the last round of negotiations in Brussels, officials added.
($1 = 0.8587 euros)
(Reporting by Manoj Kumar and Shivangi Acharya, editing by Ros Russell)
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