India- EU hope to conclude FTA by end of 2025

In the midst of a potential tariff war which is constantly by the United States, India and the European Union have agreed to follow the accelerated free trade agreement and to conclude it by the end of the exercise and plan to work together on several initiatives, including the development of the Eastern Economic Corridor (IMEC) in India.
The questions were agreed at the meeting of Prime Minister Narendra Modi with the president of the European Commission Ursula von der Leyen on Friday.
“Prime Minister Narendra Modi and the president of the European Commission Ursula von der Leyen said that the EU-Indic strategic partnership had offered strong advantages to their peoples and for the broader global good. They undertook to raise this partnership at a higher level, based on 20 years of strategic partnership in India-EU and over 30 years of the cooperation agreement in India-EC, “said the declaration of managers after the visit of the president of the European Commission Ursula von der Leyen and the college of commissioners in India in the last year of the last year.
India and the EU should start the tenth series of negotiations from March 10 to 14 in Brussels.
According to the Declaration, the leaders have instructed their respective negotiation teams to continue negotiations for a balanced, ambitious and mutually beneficial ALE in order to conclude them during the year, recognizing the centrality and importance of the growth of India-EU relations and economic relations. Managers were invited to improve market access and remove commercial barriers. They were also responsible for advancing negotiations on an investment protection agreement and an agreement on geographic indications
The plan to move forward and finish the FTA India-EU by the end of the year is significant since the talks between the two have been continuing for several years. The current ALE talks were relaunched in June 2022.
The EU is the largest trading partner in India and the trade in bilateral products exceeded $ 137.5 billion in 20124. “Their complementary commercial profiles create great growth potential, which makes AFT negotiations for accelerating other advantages,” said a recent Global Trade Research Initiative report.
The main snacks in the talks were the request of the EU for lower prices on wines, spirits and cars as well as more access to agricultural products. According to an EU official, there was a “strong commitment from India on prices on cars, wines, spirits, purchases and a number of non -tariff barriers”.
Meanwhile, India has requested a carbon tax exam by the EU which should be imposed on sectors such as steel, cement and aluminum.