India, EU To Hold Next Round Of FTA Talks From May 12
Delhi/Hyderabad, May 11 (Maxim News): India and the European Union (EU) chief negotiators will begin the next round of talks on the proposed free trade agreement (FTA) here from Monday, with an aim to conclude the first phase of the pact as early as possible, according to an official.
The two sides have agreed to conclude the agreement in two phases on account of the uncertain global trade environment, particularly due to the US tariff actions under President Donald Trump.
“The EU team will be here for the 11th round of negotiations. It will continue till May 16,” the official said. Issues where there is convergence would be included in the first part of the agreement. They are aiming to conclude the second part by the end of this year. Talks for the previous (tenth) round focused on areas like market access offers in goods, services, investment and government procurement. India has followed the practice of negotiating trade pacts in two phases with Australia. It is following a similar approach to the US. Commerce Secretary Sunil Barthwal last month stated that “if some of the issues which may not be very core to the trade, may be taking some more time, then it is better to focus on core trade issues. So, we say those first things first. We are also discussing with the EU what can be the early harvest of the first tranche, where we can do faster“. The secretary, On May 10, held a review meeting on the pact with senior officials who are involved in the negotiations.
Besides demanding significant duty cuts in automobiles and medical devices, the EU wants tax reduction in products like wines, spirits, meat, poultry and a strong intellectual property regime.
Indian goods exports to the EU, such as ready-made garments, pharmaceuticals, steel, petroleum products, and electrical machinery can become more competitive if the pact gets concluded successfully. (Maxim News)
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