India, EU aim to finalize free trade agreement this year
What's the story
Indian Prime Minister Narendra Modi and the European Union (EU) are pushing to finalize a free trade agreement by the end of this year. Ursula von der Leyen, the President of the European Commission, revealed this during her ongoing two-day visit to India. The EU is India's largest trading partner in goods, with bilateral trade amounting to an impressive $137.5 billion in the 2023-24 fiscal year, marking a growth of around 90% over the previous decade.
Trade negotiations
Resumption of trade talks after 8-year hiatus
Negotiations for an India-EU free trade agreement, which had been stalled for eight years, were revived in 2021. The talks now cover issues like investment protection and geographical indications. Leyen's visit to India is joined by leaders from EU member nations, amid rising geopolitical tensions. Both Brussels and New Delhi are expected to identify key areas for enhanced cooperation under their strategic partnership during this visit.
Strategic partnership
Leyen emphasizes on cooperation amid geopolitical tensions
Speaking at a business conference, Leyen stressed on the need for India-EU cooperation in these difficult times. She said, "We both stand to lose from a world of spheres of influence and isolationism, and we both stand to gain from a world of cooperation and working together." She made the statement ahead of her talks with PM Modi, underlining the benefits of their strategic partnership.