India-EU trade pact: Goyal to visit Brussels on Jan 8-9

New Delhi, Dec 19 (PTI) Commerce and Industry Minister Piyush Goyal will visit Brussels on January 8-9 next year for talks with his EU counterpart to give an impetus to a proposed trade pact, for which negotiations are in the last phase, an official said.

During the two-day visit, Goyal will meet the Executive Vice-President and European Commissioner for Trade of the European Union, Maros Sefcovic.

"On January 7, the minister will visit Liechtenstein, and then on January 8-9, he will be in Brussels for trade talks," the official said.

The visit comes at a crucial stage in the ongoing India-EU Free Trade Agreement (FTA) negotiations, as both sides intensify efforts to conclude a comprehensive, balanced, and mutually beneficial trade agreement at the earliest.

Commerce Secretary Rajesh Agrawal, on December 15, said that the negotiations between India and the 27-nation bloc, the EU, have entered the "most difficult" stage, and both sides are engaged to bridge the differences and close the talks soon.

He said that the European Union's (EU) carbon border adjustment mechanism (CBAM) is on the discussion table.

The 16th round of negotiations between the two sides concluded earlier this month (3-9 December) here.

Key chapters such as goods, services, investment, rules of origin, and technical barriers to trade were discussed.

Under CBAM, Indian exports of steel, aluminium, and cement to the EU could face tariffs of 20-35 per cent from January next year.

In June 2022, India and the EU bloc resumed negotiations for a comprehensive FTA, an investment protection agreement and a pact on geographical indications after a gap of over eight years. It was stalled in 2013 due to differences on the level of opening up markets.

India's bilateral trade in goods with the EU was USD 136.53 billion in 2024-25 (exports worth USD 75.85 billion and imports worth USD 60.68 billion), making it the largest trading partner for goods.

The EU market accounts for about 17 per cent of India's total exports, and the bloc's exports to India constitute 9 per cent of its total overseas shipments.

Besides demanding significant duty cuts in automobiles and medical devices, the EU wants tax reduction in other products like wine, spirits, meat, poultry, and a strong intellectual property regime.

Indian goods' exports to the EU, such as ready-made garments, pharmaceuticals, steel, petroleum products, and electrical machinery, can become more competitive if the pact sails through.

The India-EU trade pact negotiations cover 23 policy areas or chapters, including trade in goods, services, investment, trade remedies, rules of origin, customs and trade facilitation, competition, government procurement, dispute settlement, intellectual property rights, geographical indications, and sustainable development. PTI RR HVA