Union home minister Amit Shah on Friday claimed that the “mother of all deals” trade agreement with the European Union would benefit Assam and Dibrugarh the most, as its tea would reach Europe “with zero tariff.”
Speaking at a rally in Assam’s Dibrugarh, Shah credited Prime Minister Narendra Modi for the FTA deal with the EU.
“Modiji has done a big thing for Dibrugarh. Recently, on 26-27 January, India signed a Free Trade Agreement with the 27 countries of the European Union. And the biggest beneficiary of that FTA is going to be our Dibrugarh. The tea of Dibrugarh will reach the cups of morning tea of people in 27 countries of the European Union,” Shah told the rally.
Shah said that the deal has opened a large market for Assamese tea, as it will reach 27 nations with “zero tariff”.
At the time of the signing, PM Modi had said the deal would unlock new opportunities for India’s 1.4 billion people and for millions across Europe. He added that the agreement covers nearly 25% of global GDP and about one-third of world trade, making it one of the most significant trade pacts in recent years.
The India-EU trade deal
India and the European Union on Tuesday sealed what Prime Minister Narendra Modi described as the “mother of all deals”, clinching a landmark free trade agreement after nearly two decades of negotiations to create a vast market of two billion people.
Leaders on both sides said the pact would help India and Europe better navigate global economic uncertainty and reduce their exposure to risks arising from the dominance of the United States and China.
Under the agreement, tariffs on nearly 97% of European exports to India will be slashed or eliminated, resulting in annual duty savings of up to €4 billion ($4.75 billion), according to the 27-nation bloc.
Imported European alcohol, including premium wines, spirits and beer, is set to become significantly cheaper in India following the landmark deal. Under the pact, India will sharply reduce import duties on alcoholic beverages, which currently rank among the highest in the world, opening the door for lower retail prices and wider availability of European brands.