NEW DELHI
The Free Trade Agreement (FTA) discussions between India and the European Union (EU) have seen progress, but hurdles still remain, stated EU Executive Vice-President Valdis Dombrovskis. Speaking at a press conference in India, he expressed that the relationship between India and the EU holds vast untapped potential.
Although strides have been made in the FTA talks, Dombrovskis stressed that significant challenges need addressing. Emphasising the importance of the partnership, he noted, “India and the EU are foundational allies sharing core values and interests.” He further highlighted the EU’s role as India’s second-largest partner.
The geopolitical backdrop of the FTA negotiations underlines the growing emphasis on trust and credibility in global relations. Detailing the dialogue’s progress, Dombrovskis, who doubles as the EU Commissioner for Trade, mentioned both entities’ intensive engagement. He underlined the FTA’s potential benefits, giving India preferred access to the world’s largest single market, the EU. Earlier this week, Dombrovskis participated in the G20 Trade and Investment Ministers Meeting in Jaipur. Additionally, he co-led the EU-India High-Level Dialogue on Trade and Investment alongside India’s Union Commerce Minister Piyush Goyal in Delhi. The EU-India FTA discussions, initiated in 2007 but halted in 2013, were revived in 2021, underscoring a mutual commitment to amplifying economic ties and encouraging unobstructed trade. FTAs aim to dismantle trade barriers, streamlining import and export procedures, and bolstering trade relationships. The ongoing talks cover broad subjects, ensuring trade not only benefits both sides but also respects environmental and labour rights.