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India-EU trade pact soon: Sharma

By IANS,

New Delhi : India and its largest trading partner the European Union (EU) are likely to sign a broad-based trade and investment pact by next month, Commerce and Industry Minister Anand Sharma said Monday.

“Both the sides are committed to a balanced, ambitious agreement by the spring of 2011,” Sharma said after meeting Ireland’s Minister for Enterprise, Jobs and Innovation Richard Bruton here.

He said the ongoing negotiations on the proposed pact were intensified during the 12th round of talks held here from March 31 to April 6.

“It is hoped that this agreement will lead to increase in opportunities for market access in both goods and services,” Sharma said.

The 27-member European Union is India’s largest trading partner. India-EU bilateral trade is estimated to more than double to over $200 billion by 2015 from around $75 billion in 2009-10, according to an industry chamber report.

The commerce minister said India was committed to liberalising rules to attract more foreign investment.

Initiatives undertaken by India to attract foreign investment include virtual scrapping of the industrial licensing regime, and allowing private sector in all fields of economy except atomic energy and railway transport, according to a commerce and industry ministry statement.

“Foreign Direct Investment (FDI) policy in India is widely reckoned to be among the most liberal and investor-friendly in the emerging economies,” it said.