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India-EU trade deal negotiations: Differences over food safety rules persist, ‘intense work needed' says EU report
India-EU trade deal negotiations: Differences over food safety rules persist, ‘intense work needed' says EU report

Indian Express

time4 days ago

  • Business
  • Indian Express

India-EU trade deal negotiations: Differences over food safety rules persist, ‘intense work needed' says EU report

India and the European Union (EU) continue to differ on Sanitary and Phytosanitary Measures (SPS), which govern food and animal safety rules and are key to India's agricultural and processed food exports to the EU, according to a status report released by the EU on Thursday. This report follows the 12th round of talks earlier this month. This assumes significance as the EU is India's largest and most premium export destination for agricultural items, particularly coffee, tea, spices and rice. However, India's exports to the EU have seen limited growth over the years, rising from $3.02 billion in FY19 to $4.54 billion in FY25, largely due to the stringent standards imposed by the EU on foreign agricultural products. 'Negotiators made some progress on the articles about listing of establishments, regionalisation and risk assessment. Further intense work will still be required on several pending articles, such as harmonisation, technical consultations or dispute settlement. Work will continue on these provisions inter-sessionally and at the next round with the objective to consolidate the chapter's text,' the EU said on the Sanitary and Phytosanitary Measures (SPS) chapter. One key argument from the Indian side has been the EU's imposition of pesticide residue regulations and other norms that are often stricter than World Health Organization (WHO) standards. The EU regularly rejects Indian shipments, citing differences in standards, including restrictions on the use of methyl bromide fumigation for certain plant products. According to the Economic Advisory Council to the Prime Minister (EAC-PM) report in 2022, the EU enforces stringent aflatoxin limits. Aflatoxins are toxins commonly found on agricultural crops such as peanuts, maize (corn), rice and tree nuts, especially in warm and humid climates. 'For instance, the present EU level of aflatoxin in peanuts for direct human consumption is 2 µg/kg for B1 and 4 µg/kg total aflatoxin, and 8 µg/kg B1 and 15 µg/kg total aflatoxin for further processing. However, Codex (WHO standards) has set the maximum limit at 15 parts per billion (PPB) for peanuts,' the EAC-PM report said. 'Also, in spices, the EU has set a stringent limit for aflatoxin B1 and total aflatoxins at 5 PPB and 10 PPB respectively, applicable to chillies and several other spices. However, the US permits aflatoxin levels (total) of 20 PPB for all spices,' the report said. In the Rules of Origin chapter, the EU report stated that the negotiations cover both procedures and product-specific rules related to agricultural and processed agricultural products, fish products, chemical and petroleum products. Discussions also covered wood and paper products, machinery, and industrial items such as railways, aircraft, ships, and medical devices. 'Discussions focused on both market access (tariff schedules) and the remaining articles of the chapter's text. EU and India explored whether solutions could be found for the pending issues in the text. On market access, detailed discussions continued on both industrial products and the agri-food sector,' the report on the Trade in Goods chapter said.

Goyal urges Indian Missions to resolve trade barriers faced by exporters
Goyal urges Indian Missions to resolve trade barriers faced by exporters

News18

time5 days ago

  • Business
  • News18

Goyal urges Indian Missions to resolve trade barriers faced by exporters

New Delhi, Jul 17 (PTI) Commerce and Industry Minister Piyush Goyal has urged Indian Missions abroad to help address trade barriers faced by local exporters in their respective countries. While addressing Heads of the Commercial Wings posted in 74 Indian Missions abroad across 61 countries on July 16, the minister called for trade intelligence gathering, including updates on market trends, sectoral developments, and regulatory frameworks to boost India's exports. During the meeting, key Indian Missions made detailed presentations on trade promotion activities, challenges in market access, and sectoral insights. The Missions are the first point of contact for India's commercial and economic diplomacy. They play a key role in promoting Indian exports. In his address, the Minister emphasised the need for 'strategic interventions to address Market Access Barriers, including Non-Tariff Barriers (NTBs), Sanitary and Phytosanitary Measures (SPS), and Technical Barriers to Trade (TBT)," the commerce ministry said in a statement. He also called for sharing of innovative strategies and best practices that yielded good results in trade promotion and attracting investment into India, and regular dissemination of trade advisories to identify demand-supply gaps and opportunities for Indian exporters. Besides, Goyal emphasised enhanced alignment between Missions and the Department of Commerce through data-driven planning. 'The Minister called for greater synergy among Missions, Export Promotion Councils (EPCs), and Indian industry stakeholders to achieve the nation's ambition of becoming a global export powerhouse," it said. India's exports remained flat at USD 35.14 billion in June due to global economic uncertainties, while the trade deficit narrowed to a four-month low of USD 18.78 billion during the month. During April-June 2025-26, exports increased 1.92 per cent to USD 112.17 billion, while imports rose 4.24 per cent to USD 179.44 billion. PTI RR SHW (This story has not been edited by News18 staff and is published from a syndicated news agency feed - PTI) view comments First Published: July 17, 2025, 21:15 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.

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