## India, Germany Push for EU Free Trade Pact Amid Russia-Ukraine War Amid the ongoing conflict in Ukraine, India and Germany have emphasized the urgent need to accelerate negotiations for a comprehensive free trade agreement (FTA) between India and the European Union (EU). The call for an expedited deal was a prominent agenda during German Chancellor Olaf Scholz's recent visit to New Delhi. India is Germany's largest trading partner in South Asia, with a bilateral trade of over $25 billion. The EU is India's second-largest trading bloc, accounting for a significant portion of India's exports and imports. The leaders of both nations acknowledged the potential of a trade pact to boost economic cooperation, increase investments, and create jobs. They agreed to set up a high-level task force to expedite the negotiations and overcome obstacles, with the goal of concluding the agreement within a “reasonable timeframe”. India's Commerce and Industry Minister, Piyush Goyal, stressed the importance of a balanced and mutually beneficial pact that addresses India's concerns in sectors like agriculture, dairy, and automobiles. He also urged the EU to consider India's request for data-secure status, which would enable the free flow of data between India and the EU. Chancellor Scholz echoed India's concerns, emphasizing the need to address the "outstanding issues" and to ensure that the FTA is "fair and balanced." He also underlined the EU's commitment to working closely with India to strengthen economic ties and promote sustainable growth. The push for an India-EU FTA has gained momentum in recent years as both sides seek to diversify their trade and reduce reliance on individual markets. India is keen on expanding its exports to the EU, particularly in sectors such as textiles, pharmaceuticals, and engineering goods. The EU, on the other hand, is interested in gaining access to India's vast consumer market and its growing middle class. Both India and the EU have expressed optimism about reaching a comprehensive FTA that would encompass trade in goods, services, and investments. The agreement is expected to boost bilateral trade volumes, create new employment opportunities, and stimulate economic growth in India and across the EU. The ongoing Russia-Ukraine conflict has added further urgency to the negotiations, as both India and the EU seek to strengthen their economic ties and reduce their dependence on Russia. The deepening geopolitical uncertainties have highlighted the need for resilient supply chains and diversified trade partnerships, making an India-EU FTA increasingly important.
