Government will not rush into signing free trade pacts: Piyush Goyal

Government on trade deals: Commerce Minister Piyush Goyal stressed that the government will prioritise balanced and equitable trade agreements over haste, stating that rushing into such deals could have long-term repercussions for the country.

Speaking at an event hosted by an independent think tank, Goyal addressed concerns regarding India's trade negotiations with the UK and the European Union (EU), acknowledging the complexities involved.

Expectations for a swift conclusion to a free trade agreement between India and the UK, initially anticipated by late 2022, have been tempered as both sides refrain from committing to deadlines. Similarly, negotiations between India and the EU, reignited in 2022 after a nine-year hiatus due to differences in expectations, continue to face challenges.

Crucial to government's aspirations of expanding its export market, a deal with the UK holds prominence, offering wider access for Indian exports while facilitating entry for UK products such as whisky, premium cars, and legal services.

Moreover, negotiations with the EU aim to establish a free trade agreement that could counterbalance China's increasing influence in the Indo-Pacific region.

Addressing the EU's proposed carbon border adjustment tax, Goyal affirmed India's intention to raise concerns within the framework of the World Trade Organization (WTO) and through bilateral discussions. 

The government plans to voice its opposition to the EU's carbon tax proposal on imports of steel, iron ore, and cement at the upcoming WTO meeting in Abu Dhabi scheduled from February 26 to 29.

(With Reuters Inputs)