India, EU discuss core chapter of trade deal, Pg15

Key Highlights:

• India and the EU held discussions on core chapters of a trade deal between December 3-9, 2025, aiming to finalize negotiations by year-end.
• Commerce and Industry Minister Piyush Goyal met with EU Commissioner for Trade Maroš Šefčovič on December 8-9, 2025, to provide strategic guidance for the FTA negotiations.
• Technical discussions covered key areas such as market access for goods and services, rules of origin, and technical barriers to trade.
• The EU is becoming a significant market for Indian goods, especially with existing US tariffs on India.

Detailed Insights:

• The discussions included market access for goods, aiming to reduce tariff and non-tariff barriers and increase trade volume between India and the EU.
• Rules of Origin were discussed to ensure that preferential treatment is given to goods actually produced in India or the EU, preventing misuse of the FTA.
• Technical Barriers to Trade were addressed to reduce obstacles caused by differing standards and regulations, promoting smoother trade flows.
• Trade and Sustainable Development was part of the agenda, integrating environmental and labor standards into the trade agreement.
• Government initiatives have led to a 12.5% reduction in the rejection rate of Indian exported products in June 2025 compared to June 2024.
• Schemes like Zero Duty Export Capital Goods and Market Access Initiative have supported robust exports of engineering goods from April to October.
• India's merchandise exports to countries including Spain, UAE, China, and the USA are showing strong growth, contributing to the Viksit Bharat initiative.

Key Concepts Involved:

• Free Trade Agreement (FTA): An agreement between two or more countries to reduce or eliminate trade barriers.
• Market Access: The ability of a country's goods and services to compete in another country's market.
• Rules of Origin: Criteria used to determine the country of origin of a product.