New Delhi: the EU has “more or less” accepted India’s sensitivities in agriculture and dairy products in the current negotiations for a Free trade agreement (ALE). However, the two parties have not yet finalized the commitments in crucial products, including cars and alcohol, and solve the problems linked to non-no-price measures and certain final aspects of services.
The two agreed to seal the FTA as soon as possible, targeting the end of the year, even if the negotiations on the pacts on investments (ILO) and geographic indications (GIS), taking place simultaneously, lagging behind.
Pricing
“The EU is looking for a stronger reduction in import duties on cars, including electric vehicles, as well as alcoholic beverages, that India is willing to offer. Although India has made ambitious commitments under EFT of the United Kingdom for cars, by granting a gradual reduction based on the quota of 110% to 10%, and also trace of the base, the trace of the market is much more important in the EU and the same model can apply, a market source is much more important in the EU and the model may not apply. Businessline.
The next negotiation round for India-EU FTA is planned in Brussels from October 6 to 10.
On sensitive agricultural and dairy items, India maintains a coherent position. “We cannot cross our red lines. This message is clear on our side. The EU understands because they also have their red lines,” he said.
India also continues to put pressure for better commitments linked to the circulation of workers and the emission of visas. “We are examining the best offers that the EU has made to other countries,” said the source.
Negotiations are also underway to temper the non -pricing measures of the EU, such as rigorous health and phytosanitary requirements affecting exports from the agricultural sector of India and a long -term registration process for pharmaceutical products.
He is worrying
Unfortunately for the Indian IT sector, unlike India-UK FTA, the EU pact should not include a social security agreement. Instead, the country will continue to work individually with EU members for bilateral pacts in the region, the source added.
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