'India, EU trade can touch 200 bn Euro by 2014'
India and EU had agreed, during the 6th India-EU Summit in Helsinki last week, to begin negotiations on the agreement.
By PTI |
NEW DELHI: Industry body FICCI on Monday said the proposed trade and investment agreement between India and EU, will help take bilateral trade to 100 billion Euro by 2010 and 200 billion Euro by 2014.
Trade between the two sides currently stands at 40 billion Euro and this could reach the level of 200 billion Euro by 2014, as a result of the proposed trade and investment agreement, negotiations on which would commence next year, FICCI President Saroj Kumar Poddar told reporters.
He said FICCI would form a task force of CEOs that would work with the Government with regard to negotiations on the new trade and investment agreement. The task force, to be chaired by Poddar, would have representation from key sectors like food processing, health, IT, pharmaceuticals and textiles.
India and EU had agreed, during the 6th India-EU Summit in Helsinki last week, to begin negotiations on the agreement.
EU is the largest trading partner of India but the latter accounts for less than two per cent of EU's total exports. EU exported goods and services worth 25 billion Euro to India in 2005.
The total cumulative FDI inflows from EU to India were 8.16 billion dollars (from 1991 to June 2006) amounting to 20 per cent in India's total FDI inflows.
FDI inflow from EU countries could easily double as a result of the new investment agreement, Poddar added.
However, the chamber outlined areas like visa regime for the services sector, on which, the two sides would need to work on to improve bilateral trade.
"The EU is seeking opening up of the services sector and a new category of visas for the sector should be introduced, which would be beneficial for both sides," he said.
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