EU and India to restart stalled trade deal talks after eight-year pause
- India is the world‘s second most populous country after China but is only the 10th-largest trading partner for the EU
- ‘Between the EU and India there is a close relationship but also a lot of untapped potential,’ said European Commission president Ursula von der Leyen
The European Union and India have agreed to resume talks on a free trade deal that have been frozen since 2013, European Commission President Ursula von der Leyen announced on Saturday.
“Between the EU and India there is a close relationship but also a lot of untapped potential,” von der Leyen said. “The most untapped potential is in trade and investment.”
Brussels and New Delhi will also launch negotiations on an investment agreement and on geographical indications, the EU executive chief told journalists after talks with Indian Prime Minister Narendra Modi.
India is currently the world's second most populous country after China, with more than 1.3 billion inhabitants, but is only the 10th-largest trading partner for the EU.
In 2007, the two sides began discussions on a wide-reaching trade and investment agreement, including more market access and fewer tariffs.
But several disagreements, such as over Indian tariffs on cars and wine and over EU labour market restrictions on Indians, brought the negotiations to an end in 2013.