New Delhi, Feb 28 (KNN) India and the European Union (EU) are yet to find a resolution and a mutually agreed framework on the issue of technical regulations and standards that act as trade or market access barrier.

As per an update on the latest round of talks that concluded in December, negotiators from both the sides were unable to come to a common ground, reported Mint.

During the talks between 28 November and 2 December, negotiators discussed technical regulations, standards and conformity assessment articles, according to the Report of the Third Round of Negotiations.

“No significant progress was made during this round due to substantial differences that exist between the EU and Indian systems, in particular as regards the Supplier Declaration of Conformity (SDoC),” according to the report.

Experts said the EU’s demands as per the draft chapter on Technical Barriers to Trade (TBT) exceed India’s commitment at the World Trade Organization.

This may lead to significant compliance costs for Indian exporters in sectors like telecommunication, electrical equipment and chemicals to access the EU market, and vice versa.

Besides, the EU proposal does not provide for mutual recognition of standards and conformity assessment, which means Indian products may continue to face market access barriers even after the agreement.

An EU official said the added value of the trade agreements that the EU negotiates is linked to the inclusion of WTO+ elements and that this also applies to TBT.

The key EU objective in its trade relations with India is to work towards a sound, transparent, open, non-discriminatory and predictable regulatory and business environment for European companies trading with or investing in India, the official said on condition of anonymity.

“The aim is to contribute to unlocking the untapped potential of two-way trade and investment between the EU and India,” said the official.

The fourth round of EU-India FTA negotiations will be held in Brussels from 13 to 17 March 2023.  (KNN Bureau)