India has reaffirmed its stance on conducting trade negotiations cautiously and in line with its national interest, Union Commerce and Trade Minister Piyush Goyal said on Friday, amid ongoing discussions on a potential India-US trade deal and a free trade agreement with the European Union.
Speaking at the Berlin Dialogue, Goyal emphasized that India will not enter trade agreements hastily or under pressure from any country. “We are in active dialogue with the EU. We are talking to the US, but we do not do deals in a hurry and we do not do deals with deadlines or with a gun to our head,” he said, underlining that trade deals are meant to foster long-term partnerships based on mutual trust.
India is currently negotiating with the EU on issues including market access, environmental standards, and rules of origin, while exploring newer markets to counter high US tariffs. Goyal also made it clear that India will not choose its trade partners based on the wishes of another country. “Do not think India has ever decided who its friends will be based on any other considerations other than national interest… and somebody tells me you can’t be friends with the EU, I won’t accept that, or somebody tells me tomorrow, I can’t work with Kenya, it’s not acceptable,” he said.
The comments come amid international pressure, particularly from the EU, UK, and US, urging India to scale back its purchases of Russian oil, citing concerns over funding Moscow’s war efforts in Ukraine. India has maintained that its energy imports are crucial for energy security and affordable supplies for Indian consumers.
The remarks gain added significance following US sanctions on Moscow’s two largest oil companies, raising speculation on whether India would reduce Russian oil imports as part of a potential trade deal. While some experts believe India could eventually shift from Russian crude, they caution that it would come at a cost.
Jorge Montepeque of ONYX Capital told AFP, “The key is to what extent Modi bends to the American will. Initial responses were that the state oil companies were very cautious,” highlighting the delicate balancing act India faces in navigating its trade and energy partnerships.
