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How FTA Between India and EAEU Would Benefit Both Sides?

© Sputnik / Kirill Kalinnikov / Go to the mediabankEurasian Economic Forum
Eurasian Economic Forum - Sputnik India, 1920, 24.05.2023
The Eurasian Economic Union (EAEU) is an economic forum of five post-Soviet nations currently led by Russia. Other members include Armenia, Kazakhstan, Kyrgyzstan, and Belarus.
Russian President Vladimir Putin is chairing the two-day Eurasian Economic Forum, which kicked off in Moscow on Wednesday and is going to see President Putin in attendance.
The event, organized under Russia's EAEU presidency, will see the attendance of all the leaders of member states, and more than 2,700 delegates on the whole.
2nd Eurasian Economic Forum - Sputnik India, 1920, 24.05.2023
Business & Economy
Eurasian Economic Forum Kicks Off in Moscow, Featuring Over 2,700 Delegates

How Will Eurasia Free Trade Deal Benefit India?

Over the past year, there has been a significant surge in India-Russia trade, with the growth largely attributed to India's increased purchases of discounted Russian crude. As a result, Russia has already become one of the largest energy suppliers for India.
But how a Free Trade Agreement between the Eurasia nations and India would benefit the latter?
In general, once signed, the FTA would remove barriers to imports and exports between India and the five members of the Eurasian economic bloc.
Also, the FTA would permit Indian goods and services to be sold and purchased in Russia and other EAEU countries without any kind of government charges, subsidies, or quotas.
Additionally, it guarantees the protection of investments through preference in trade and a mechanism that promotes the products of an FTA partner.

Chris Devonshire-Ellis, Chairman of Dezan Shira & Associates, told Sputnik that Having access to Russian and EAEU markets would be a boom for Indian exporters while providing less of a domestic market risk in the opposite direction.

Will We See FTA Between India & EAEU in Near Future?

Among the other topics that are expected to be taken up for discussion is a Free Trade Agreement (FTA) between EAEU nations and India, a key ally of Moscow.
India and EAEU last held talks on the subject in April this year wherein the two parties stated that negotiations between the two parties have reached an "advanced stage".

"We pay special attention to the issues of mutual access of production to the markets of our countries. Together with the Eurasian Economic Commission we are looking forward to intensifying negotiations on a free trade agreement with India," Russian Trade Minister Denis Manturov said during his visit to Delhi last month.

The proposed FTA between New Delhi and EAEU is aimed at forging close economic relations between the Eurasian grouping and the world's largest democratic nation.