Brussels:
The European Union and India will agree to restart extended-stalled trade talks at a leaders’ summit on Saturday, an EU official mentioned, as tensions with China spur closer cooperation.
“After almost eight years of the suspension of the free trade talks, we will agree to resume these,” a senior EU official told journalists on Thursday in a briefing ahead of the summit.
“This opens up the way to a possible free trade agreement between us.”
Momentum has been increasing for closer ties involving Europe’s 27-nation bloc and the world’s biggest democracy in the face of the increasing could of Beijing.
Trade talks involving the two sides have been halted in 2013 following acquiring stuck on challenges such as cutting tariffs and access for Indian workers to Europe.
The EU official mentioned Brussels was hoping to attain “an ambitious, comprehensive and also mutually beneficial agreement” with India — but it remains to be seen if New Delhi will ease up on its traditionally protectionist method.
“We believe that this is one of the areas of cooperation between EU and India where the potential gain, both economically but also strategically, is the greatest,” the EU official mentioned.
The bloc’s push to resume negotiations comes at a time former EU member Britain is also producing a play to bolster its trade ties with India, as London seeks to carve out its new part.
The British government mentioned Tuesday it would get started formal totally free talks with India late this year following the two sides agreed an initial package to increase bilateral trade and investment.
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