India and the EU have agreed to finalize a significant free trade agreement by year-end. Indian Prime Minister Modi and EU Commission President von der Leyen are committed to enhancing cooperation across trade, technology, and defense, as negotiations resume in March. The agreement holds potential as the largest free trade deal globally, impacting substantial economic relations between the two parties.
India and the European Union have reached an agreement to finalize a long-awaited free trade agreement by the end of this year. Indian Prime Minister Narendra Modi and European Commission President Ursula von der Leyen announced this development during a meeting in New Delhi. Modi emphasized the objective to enhance and accelerate the India-EU partnership, highlighting mutual trust and shared democratic values as its foundation.
President von der Leyen noted that the anticipated free trade agreement could be the largest of its kind globally. Amid concerns of potential tariffs imposed by the United States, the European Commission is keen to solidify this agreement with New Delhi. She expressed a pragmatic and ambitious approach, affirming her commitment to achieving the deal.
The negotiations for this agreement were relaunched in 2021 after having stalled for several years, with significant sticking points being market access for cars and alcohol. Talks are expected to resume in March, as both parties aim to strengthen collaboration on issues of trade, technology, and defense. With the EU being India’s largest trading partner, the significance of these discussions has intensified.
In the last fiscal year, trade between India and the EU exceeded $130 billion, reflecting a remarkable increase over the last decade. President von der Leyen expressed optimism about the partnership, asserting that it could define the century. She declared, “I want this visit to be the start of this new era. Prime Minister Modi and I share the same view.”
The agreement between India and the EU to finalize a free trade deal signifies a pivotal step in their strategic partnership. As both parties emphasize cooperation amidst changing global trade dynamics, the anticipated deal is set to bolster economic relations significantly. With large-scale investments on the horizon, the collaboration between India and the EU is positioned to have substantial impacts in various sectors.
Original Source: apnews.com
