Negotiations for a Free Trade Agreement (FTA) between India and the European Union remain a priority, with both sides pushing for an "early and ambitious" deal, said the Ministry of External Affairs, hours after bilateral talks between Prime Minister Narendra Modi and his Spanish counterpart Pedro Sanchez.
During their bilateral talks at the Laxmi Vilas Palace in Vadodara, PM Modi and Sanchez discussed a wide range of topics, including trade, defence, and technology collaboration.
Responding to a query whether the two leaders discussed the FTA, MEA Secretary (West), Tanmaya Lal, said, "The negotiations on an FTA and investment agreement between India and the European Union are ongoing."
The agreement is aimed at further boosting bilateral trade and investments between the two regions. The two sides are negotiating a free trade agreement, an investment protection agreement and an agreement on geographical indications (GIs).
The FTA negotiations between India and the EU, which have been ongoing since 2007, have seen periods of stagnation and revival.
Talks resumed with renewed vigour in 2021 after a nearly eight-year hiatus, focusing on reducing tariffs, addressing market access challenges, and facilitating investment flows between the two regions.
PM Modi met Sanchez on Monday in the Durbar Hall of the Laxmi Vilas Palace in Vadodara, following the inauguration of the Tata-Airbus C-295 aircraft assembly facility. The two leaders shared lunch at the palace.
During their bilateral meeting, PM Modi extended a warm welcome to his Spanish counterpart, saying, "This is your first visit to India. We missed your presence at the G20 Summit in New Delhi last year. I am delighted to welcome you to India during the festival of Deepawali in the same Vadodara where I first became a Member of Parliament and later assumed the role of Prime Minister."
During the special briefing following the bilateral talks, Lal further detailed the scope of India-Spain cooperation during the visit, mentioning the signing of an MoU on cooperation in railways. Lal highlighted the growing economic partnership, noting, "The total figure of trade is increasing. It is very substantial now, USD 10 billion. Also, the investment by various companies in each other's countries is increasing."
Earlier in the day, the two leaders inaugurated the Tata Advanced Systems Limited (TASL)-Airbus facility in Vadodara, Gujarat. Sanchez said the project was the victory of Modi's vision “to turn India into an industrial powerhouse and a magnet for investment and business-to-business collaboration. This partnership between Airbus and Tata will contribute to the progress of the Indian aerospace industry and will open new doors for other European companies,” he added.
Sanchez got a warm welcome with a colourful show of Gujarat’s culture en route a 2.70 km roadshow from Harni airport to the facility nearby as both leaders in an open jeep greeted thousands of citizens by the roadside.
