FTA talks on with US, NZ, Oman, Peru Chile: Goyal

Commerce and Industry Minister Piyush Goyal on Monday said India was negotiating free trade agreements (FTAs) with several nations, including the US, the European Union, New Zealand, Oman, Peru and Chile.

He said the recently concluded FTA with the European Free Trade Association (EFTA) bloc, comprising Iceland, Liechtenstein, Norway and Switzerland, was set to take effect from Wednesday.

Speaking at the UP International Trade Show, Goyal informed that developed nations were keen on forging trade pacts with India, adding that agreements had already been finalised with the UAE, Australia and the UK. He said India and the Eurasian Economic Union (EAEU), which included Armenia, Belarus, Kazakhstan, Kyrgyz Republic and Russia, had signed the terms of reference in August to begin FTA negotiations.

Goyal’s remarks on trade talks with the US follow his delegation's visit from September 22-24, aimed at concluding a mutually beneficial bilateral trade agreement. This proposed trade pact, announced during Prime Minister Narendra Modi's US visit in February, targets increasing bilateral trade to $500 billion by 2030. Negotiations began in March, with an initial goal to finalise the first phase of the agreement by this fall.

The Commerce and Industries Ministry informed that Goyal had meetings with US Trade Representative Jamieson Greer and Ambassador-designate to India Sergio Gor. Both sides discussed the potential structure of the deal and committed to continued engagement for an early conclusion.

The India-US trade ties suffered a jolt in August following the imposition of 50 per cent tariffs on select Indian goods by the US administration. These tariffs are expected to affect nearly 45 per cent of India's exports to the US. Last year, India exported goods worth $86.5 billion to the US, with total bilateral trade valued at $131.84 billion. The US accounts for nearly 18 per cent of India’s total goods exports, 6,22 per cent imports and 10.73 per cent of its total merchandise trade.