Senior officials from India and the European Union (EU) concluded the 14th round of negotiations on a draft free trade agreement (FTA) in Brussels, Belgium, an official source confirmed.
The talks, which lasted five days, began on October 6 to iron out differences on various issues related to goods and services so that negotiations could be concluded sooner, the source added.
Indian negotiators were then joined by Commerce Secretary Rajesh Agrawal in the final days of the round to give the negotiations a boost.
Agrawal met European Commission Director-General for Trade Sabine Weyand during the visit.
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The Minister of Commerce should go to Brussels
Commerce and Industry Minister Piyush Goyal recently expressed hope that both sides will sign the agreement soon. He is also expected to travel to Brussels to meet his European counterpart Maros Sefcovic to assess progress.
Both sides aim to conclude negotiations by December.
In June 2022, India and the 27 EU members resumed negotiations for a comprehensive FTA, an agreement on investment protection and a pact on geographical indications after a hiatus of more than eight years. It was blocked in 2013 due to differences in the level of market opening.
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In addition to demanding significant reductions in tariffs on automobiles and medical devices, the EU wants reduced taxes on other products such as wine, spirits, meat, poultry, as well as a strong intellectual property regime.
Exports of Indian products to the EU, such as ready-made garments, pharmaceuticals, steel, petroleum products and electrical machinery, can become more competitive if the deal is concluded.
India-EU agreement covers 23 policy areas
Negotiations on the India-EU trade agreement cover 23 policy areas or chapters, including trade in goods, trade in services, investment, sanitary and phytosanitary measures, technical barriers to trade, trade remedies, rules of origin, customs and trade facilitation, competition, trade defense, government procurement, dispute resolution, intellectual property rights, guidance geography and sustainable development.
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India’s bilateral merchandise trade with the EU stood at $136.53 billion in 2024-25 ($75.85 billion in exports and $60.68 billion in imports), making it the largest merchandise trading partner.
The EU market accounts for 17% of India’s total exports
The EU market accounts for about 17 percent of India’s total exports, and the bloc’s exports to India constitute 9 percent of its total overseas shipments.
Furthermore, bilateral trade in services between India and the EU was estimated at $51.45 billion in 2023.
(With contributions from the Agency)
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