India and EU Must Take Decisive Action to Eliminate Trade Hurdles: Piyush Goyal
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Synopsis
Commerce Minister Piyush Goyal highlighted the urgent need for decisive actions to eliminate trade barriers between India and the EU to facilitate the finalization of a free trade agreement. Cooperation between both parties is crucial for unlocking the potential for increased bilateral trade.
Key Takeaways
- Decisive actions are necessary to eliminate trade barriers.
- Both parties must gain a deeper understanding of obstacles.
- Investment promotion between India and Italy is important.
- The India-EU FTA aims for a balanced and mutually beneficial agreement.
- The EU is India's largest trading partner.
New Delhi, April 11 (NationPress) Union Commerce Minister Piyush Goyal stated on Friday that decisive actions are essential to eliminate existing trade hurdles to accelerate discussions and achieve a free trade agreement (FTA) between India and the European Union (EU).
The minister pointed out the necessity for both parties to gain a deeper insight into the obstacles obstructing the agreement, as there exists significant potential to increase the current bilateral trade of $15 billion.
"It is my belief that decisive actions must be undertaken to hasten the finalization of the FTA between India and the EU. This will necessitate both the EU, its member states, and India to collaborate in a spirit of cooperation to foster mutual trust and better comprehend the trade barriers impeding our agreement," Goyal mentioned during his speech at the ‘Italy-India Business, Science and Technology Forum’ held here.
The minister further stressed the importance of promoting investments between India and Italy to facilitate smoother trade relations, as Goyal noted.
During a meeting in Delhi last month, Prime Minister Narendra Modi and President of the European Commission Ursula von der Leyen agreed to accelerate efforts to finalize the India-EU FTA by the end of the year.
This visit by the EU President occurred amid proposed tariff increases by US President Donald Trump (currently on hold until July 9 except for China) under his ‘America First’ policy, which poses a threat to international trade and increases uncertainty in the global economy.
PM Modi and the European Commission President committed to instructing their respective negotiating teams to pursue a balanced, ambitious, and mutually advantageous FTA.
Officials were directed to function as trusted partners to enhance market access and eliminate trade obstacles. They were also assigned to advance discussions on an Agreement on Investment Protection and an Agreement on Geographical Indications. The EU stands as India's largest trading partner, responsible for £124 billion in goods trade in 2023, accounting for 12.2 percent of total Indian trade.
