New Delhi: India and the European Union are working with strong commitment and sincerity to finalize a comprehensive and balanced Free Trade Agreement (FTA) that aims to benefit businesses and consumers on both sides, said Commerce and Industry Minister Piyush Goyal on Friday.
Addressing the Automotive Component Manufacturers Association (ACMA), Goyal emphasized that such agreements require fair give-and-take, stating, “I have had long hours of jostling and fighting with the EU Trade Commissioner Maros Sefcovic, who is a tough negotiator.” The two sides are currently engaged in the 13th round of negotiations, held September 8-12 in New Delhi, with the goal of concluding talks by December.
Positive Progress and Industry Opportunities
Goyal urged negotiators not to let “the search for a perfect deal become the enemy of progress,” expressing confidence in the positive direction of the talks. He highlighted the immense possibilities unlocked through the FTA, including increased trade, investment, technology transfer, and deeper economic engagement.
The minister specifically pointed to the automotive component sector, noting that the emerging provisions under the India-EU partnership would be “attractive and full of potential.” He underscored India’s strengths in cost competitiveness, design, development, and R&D, which can foster joint ventures, technology partnerships, and innovation with European firms.
This partnership is expected to lower costs, boost productivity, create jobs for Indian youth, and strengthen India’s position as a leading hub for high-quality automotive component manufacturing. Goyal also mentioned India’s aspiration to significantly increase vehicle penetration from the current 34 cars per thousand people, opening new avenues for industry growth.
EU’s Perspective: Mutual Trust and Shared Ambition
European Union Trade Commissioner Maros Sefcovic, present at the event, acknowledged that while FTA negotiations had been attempted previously, this round stands out due to “a level of seriousness, mutual trust, and shared ambition” not seen before. He reiterated the commitment by Prime Minister Narendra Modi and European Commission President Ursula von der Leyen to finalize the deal by year-end.
Maros emphasized that both India and the EU are striving to create an “economically meaningful package” that balances the interests of producers, exporters, and consumers equally. The goal is to craft a win-win agreement that promotes not only trade in goods and services but also investment, innovation, sustainable development, and closer cooperation between the two regions.
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