India and the European Union (EU) want to conclude negotiations on the proposed broadbased trade and investment agreement between them by October 2010, EU trade commissioner Karel De Gucht said on Thursday. The two sides have held eight rounds of negotiations on the deal since 2007, but an agreement remains elusive. The last round concluded in January this year.
The key areas of disagreement are the EU demand for increased market access for European wines and spirits, intellectual property rights on drugs and export of services. ?We have made some headway but there are still some pending problems. These are topics that are to be fully addressed as the European Union Parliament would never accept a deal without these issues being addressed,? Gucht said after meeting commerce and industry minister Anand Sharma here.
On his first visit to India after being elected EU?s trade commissioner in February, Gucht said, ?Our aim is that the deal is done by the next summit in October?. India and the 27 nations of EU are going to huddle up for the India-EU summit in October 2010. The EU is India’s largest trading partner accounting for over 30% of its exports. To avoid any confrontational stance with the Indian government, Gucht categorically mentioned that EU is approaching the talks ?not in terms of (imposing) sanctions, but we are reasoning it in terms of evolution. We will discuss the appropriate language of the agreement?.
However, he agreed that India and EU can not get the same level of market access in each other?s market. ?We acknowledge that there would be some degree of asymmetry in the market access,? Gucht said.
India wants greater market access for its products and skilled professionals in Europe, while EU wants lower duty on Scotch whisky. There is also a disagreement on the issue of child labour and climate change being made part of trade negotiation.