Finance
Prime Minister Narendra Modi said on Friday that the historic India-EU free trade agreement is entirely aligned with India’s objective of becoming a developed economy.
The Prime Minister cited an article published by Commerce Minister Piyush Goyal, which stated that “the government has delivered a transformative agreement that expands markets, creates jobs, and protects India’s core interests”.
In the article, Goyal argued that the India-EU free trade pact marks a watershed moment in Prime Minister Modi’s economic policy. It would produce millions of jobs, massive prospects for India’s young and farmers, and riches for almost 2 billion people, who collectively account for 25% of the world economy.
The agreement between the world’s second and fourth largest economies is one of the most significant trade treaties ever inked. In reality, it is much more than a trade agreement. It is a comprehensive alliance that promotes collaboration in essential industries like artificial intelligence, defense, and semiconductors. The report stated that the FTA will benefit every area and inhabitant of India.
The FTA assures rule-based trade and economic policy stability, making India an even more appealing destination for both domestic and foreign investment. This will open up countless prospects for small firms, entrepreneurs, and employees.
PM Modi’s declaration was hailed as the “mother of all deals” by the international community. It comes as a breath of fresh air during a turbulent period for global commerce and supply-chain realignment. The agreement positions India and the EU as trusted partners committed to open markets, predictability, and inclusive growth, Goyal has stated.
India has gained unparalleled market access to the EU for more than 99 percent of its exports by trade value, strengthening the Make in India drive. According to the minister, the FTA significantly benefits labor-intensive sectors such as textiles, apparel, leather, footwear, marine products, gems and jewellery, handicrafts, engineering items, and autos.
It will abolish tariffs of up to 10% on Indian goods worth approximately $33 billion. The pact also strengthens workers, craftsmen, women, youth, and MSMEs, while further integrating Indian enterprises into global value chains and consolidating India’s position as a significant supplier in global trade.
The agreement also improves mobility for businesspeople and professionals and creates new opportunities in fields such as education, information technology, financial services, and computers. According to the report, these agreements would create high-value jobs and improve India’s status as a worldwide hub for talent, innovation, and long-term economic growth.
Source: IANS
