The India-EU FTA is a major step for bilateral ties, projected to increase India's exports to $200B and add up to 3 million jobs, says expert Robinder Sachdev. The deal, especially zero duty on textiles, is seen as a boost for employment.
A 'Big Step Forward' for Trade and Jobs
The proposed India-European Union Free Trade Agreement (FTA) mark a big step forward in bilateral relations, delivering major gains in trade, jobs and strategic alignment, according to foreign affairs expert Robinder Sachdev.
While speaking with ANI, Sachdev said, "India exports around USD 130 billion of goods and services to the EU. After this free trade agreement, our exports will jump from USD 130 billion to around USD 200 billion. European exports to India, which are around $80 billion now, will jump to around $150. For India, this will also lead to job growth. It's expected that from 2 million to 3 million jobs will be added as a result of this FTA."
Strategic Alignment Amidst Global Shifts
Talking more about the situation in the EU, he said the EU is facing a crisis today. "US-European relations were heading towards a drift, but this past week, I think, has dealt a trauma to the Europeans and European leadership. Now, the EU-India free trade agreement, it is a big step forward."
"So this visit, which was due to happen in any case, but incidentally, since the Davos meetings were held just last week and that whole back and forth with Donald Trump, I think the EU leaders, when they're in India now, are looking at India with a fresh pair of eyes. So that's where I think EU-India relations are," he said.
Boost for Textile Sector and Employment
Earlier in the day, Raymond Group Managing Director Gautam Singhania said the proposed India-European Union FTA, particularly negotiations around zero duty on textiles, could deliver a significant boost to employment and industrial growth.
"Textiles remain among the largest employers in the country and a duty-free access to the EU market would be beneficial not only for the sector but also for the broader economy," Singhania said. He added that a favourable agreement with the EU could also strengthen India's position in future trade negotiations with the United States. "Zero duty on textiles will be very good for the industry and from an employment point of view as well. A strong deal with the EU could be a significant step," Singhania said.
EU President's Visit and Imminent Announcement
EU President Ursula von der Leyen is in New Delhi, where she attended the Republic Day celebrations as a Chief Guest.
In a social media post on X, von der Leyen said, "It is the honor of a lifetime to be Chief Guests at the Republic Day celebrations. A successful India makes the world more stable, prosperous and secure. And we all benefit."
New Delhi and Brussels are likely to announce the conclusion of negotiations on the much-awaited free trade agreement at the India-EU summit on January 27. (ANI)
(Except for the headline, this story has not been edited by Asianet Newsable English staff and is published from a syndicated feed.)