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January 24, 2008
EU-India FTA unlikely to be WTO-plus
Fredrik Erixon says that a EU-India FTA faces a number of difficulties:
A strong, commercially-relevant FTA would focus primarily on services and investments – which are two areas that are not really part of centralised EU trade policy. The EU does not have a single market for services, and certainly has no centralised policy for investment agreements. So there has to be a lot of internal negotiations in Europe before it can agree to any real commitments. But the problem is that it is highly unlikely that they will come to common to a position that will support a strong, deep-integrating FTA. Similarly, many aspects of these areas do not fall under the federal competence in India, and policies are rather organised at states level.
Posted by Dingel at January 24, 2008 10:37 AM