- India-US bilateral trade agreement talks continue with no set deadline for announcement yet
- India-EU free trade agreement has 20 of 24 chapters finalized ahead of January 27 summit
- Piyush Goyal's recent Brussels visit advanced India-EU FTA negotiations significantly
India is on track and "very close" to signing major trade deals with the US and the European Union (EU), Commerce Secretary Rajesh Agrawal said today. The negotiations are going on amid the steep tariffs imposed by President Donald Trump on Indian goods coming to the US.
On the bilateral trade agreement (BTA) that India and the US are working out, the commerce secretary did not give a definite deadline by when the two nations would announce the deal.
"There are engagements going on, and negotiating teams are talking virtually on issues which are still pending. But we can't put a deadline. It's very close. That will happen as long as both sides are ready, they feel it is the right time to announce," Agrawal told reporters today.
FTA With EU
The negotiations with the EU are slightly different - it is a free-trade agreement, and not just bilateral.
At least 20 out of the 24 chapters in the India-EU FTA have been finalised, Agrawal said, adding both sides are "virtually engaged on a day-to-day basis". The India-EU summit is scheduled on January 27.
"There are few issues which are still under negotiations... We are trying to see if we can meet the timeline before our leaders can meet," the commerce secretary said. "The foreign secretary also talked about it in Ahmedabad two days back. We are expecting to conclude the negotiations and have the deal ready."
Union Commerce and Industry Minister Piyush Goyal's visit to Brussels last week marked a decisive step forward in the India-EU FTA negotiations. Goyal met with Commissioner for Trade and Economic Security, Maros Sefcovic, and both provided guidance to negotiating teams to resolve pending issues and expedite the agreement.
The visit capped a week of intensive diplomatic and technical engagements in Brussels, underscoring the political resolve of both sides to deliver a comprehensive deal.
India-US Trade Deal
A team of US officials led by Ambassador to India Sergio Gor and Deputy USTR Rick Switzer met Goyal on December 10 and Agrawal the next day to take forward the negotiations. Agrawal said India's exports to the US are "still holding on to a positive trend".
"It was still doing around $7 billion (monthly) despite high tariffs. We are focusing more on areas where tariffs are less, or in areas where tariffs are there, and industry has been showing resilience and holding on to the supply chains," he said.
There were apprehensions that India's exports to the US would dwindle due to the steep tariffs.
On India's energy imports, the commerce secretary said India has been buying from all traditional suppliers, largely from the Middle East. Energy trade has been a thorny issue in the trade deal talks with the US, and the Trump administration wants more shipments to come to India. India imports over 80 per cent of its energy needs.
On the issue of any possible trade disruptions with Iran, the commerce secretary said India has a very limited trade. "We are looking at that. We are awaiting details and as and when details are there, we will look into it," he said.
