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Home » News » India wants early harvest trade agreement with EU for prompt results

India wants early harvest trade agreement with EU for prompt results

Jessica BrownBy Jessica Brown Business
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The European Union and the Indian flag join on the desktop on disfigured background. Horizontal composition with copy space and selective approach.

The European Union and the Indian flag join on the desktop on disfigured background. Horizontal composition with copy space and selective approach. | Photo credit: Microstock Hub

India and the EU can consider an early harvest agreement, which can be ensured early, before the end of an integral agreement, it takes a long time due to several problems, high officials said.

“There are some problems, not central commercial issues, which are taking longer. We believe that it is better to focus on central issues. We are discussing with the EU what early we can do. We are adopting a pragmatic approach to the EU,” said Commerce secretary Sunil Barthwal, in an interaction with the media on Tuesday.

In February of this year, Prime Minister Narendra Modi and the president of the European Commission, Ursula von der Leyen, decided to work to conclude the negotiations for the proposal of the Indian TTA at the end of 2025.

US tariff impact.

The urgency of concluding conversations could be attributed mainly to the plans of the president of the United States, Donald Trump, to impose reciprocal tariffs on business partners, although the two leaders did not make a direct mention of it.

However, EU enthusiasm by including non -commercial problems in its commercial PACT, such as work standards, environmental regulations, gender and sustainability provisions, could lead to delays, since these are official and political matters.

In an early harvest agreement, commercial partners could focus on certain aspects of a commercial agreement, which are low improvement fruits, while letting other articles be tasks later.

“If non -commercial problems are excluded, then the possibility of concluding negotiations with an focus on trade by the end of the year,” the official explained. The EU is the largest regional commercial partner in India.

India and Australia, for example, agreed an early harvest pact in December 2022 and are now working on an integral pact. India and the United States also have plans to conclude the bilateral trade agreement in sections.

The eleventh round of negotiations for the TLC proposed between India and the EU is scheduled for May 12 to 16 in New Delhi.

The negotiations for an integral Economic Association Agreement (CEPA) between India and the South American Nation Chile launched on April 1, according to the additional secretary LE SATYA SRINIVAS.

Chile is the fifth largest commercial partner in India in the LAC Region (Latin America and the Caribbean) with a bilateral trade of goods at $ 3.59 billion February 2024-25.

India is also in conversations with Peru for a FTA and the seventh round of Toks Place earlier this month.

Posted on April 15, 2025

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