GOVERNMENT OF INDIA

MINISTRY OF COMMERCE AND INDUSTRY

LOK SABHA

UNSTARREDQUESTION NO: 2710

ANSWERED ON: 10.12.2012

TRADE WITH EU 

(a) whether the Government is in the process of finaliation of the Broad- Based Trade and Investment Agreement (BTIA)Free Trade Agreement with the European Union (EU) and if so, the details thereof and the progress made so far in this regard;   

(b) the details of the contentious issues being negotiated between the two groups including lowering of tariff on import and export duties and the efforts being made by the Government to resolve them;   

(c) whether the Government has held any meeting with the European Commissioner for Taxation and Customs Union, Audit and Anti-Fraud in the recent past; 

 (d) if so, the details thereof including the issues raised and discussed during the meeting along with the reaction of the European Commissioner thereto; and   

(e) the details of the total trade carried on between India and European Union countries along with the economic benefits likely to be accrued to the small and medium business enterprises and exporters from the aforesaid Agreement? 

ANSWER

(a) The Government of India is negotiating a bilateral Broad Based Trade and Investment Agreement (BTIA) with the European Union (EU) and negotiations were launched in Brussels on 28-29 June, 2007 based on the recommendations of the High Level Trade Group at the 7th India-EU Summit in October, 2006 in Helsinki. Negotiations across a number of tracks including Trade in Goods, Trade in Services, Investment, Sanitary and Phyto-sanitary Measures, Technical Barriers to Trade, Trade Remedies, Government Procurement, Customs Cooperation and Trade Facilitation, Dispute Settlement, Competition and Intellectual Property Rights etc. are underway. So far fifteen rounds of negotiations have been held. 

(b) As is consistent with previous and established practice in ongoing negotiations, it would be premature to share the details of negotiations including the contentious issues and efforts being made to resolve them on account of sensitivities involved. Disclosures before finalisation of the Agreement may adversely affect India’s position in the negotiations. 

(c) & (d) A bilateral meeting between Hon’ble Commerce Minister and European Commissioner for Taxation and Customs Union, Audit and Anti Fraud was held on 17th October, 2012 to exchange views in various matters including the ongoing negotiations on India EU BTIA. 

(e) The details of total trade between India and EU during the last three years is given below. Enhanced bilateral trade in goods and services and investment flows would result from this BTIA, which will also benefit small and medium business enterprises and exporters. 

2009-10  2010-2011 2011-2012    

Exports 36028.05 46077.64 52570.34

Imports 38433.12 44539.93 57294.62

Total 74461.17 90617.57 109864.96      (Source: DGCIS)