India and the European Union a comprehensive FTA deal to raise bilateral trade to over $220 billion in five years. Trade negotiations between the two nations halted in 2013 over the movement of Indian professionals and high Indian tariffs on European farm produce. The India-EU FTA will make it easier for both countries to negotiate for a comprehensive trade deal within this framework, says Ajay Sahai, Director General & CEO, Federation of Indian Export Organizations (FIEO).
On April 2, Piyush Goyal, Commerce Minister said, India plans to sign new FTAs with the UK, Canada, Israel, Gulf Cooperation Council, and the EU. It recently signed the India-Australia Economic Cooperation and Trade Agreement (ECTA). According to him, the India-EU FTA will double bilateral trade between the two partners from the existing $110 billion.
The India-UK FTA may materialize happen before the EU deal as UK does not wish to resort to interim deal. The current value of bilateral India-UK trade is $50 billion. Negotiations on this FTA are set to start before the end of the year.
