Daniele Smadja, head of delegation of the European Commission, with Sanjay Budhia, senior VP of Indian Chamber of Commerce, in Calcutta on Monday. A Telegraph picture A Staff Reporter

Calcutta, April 28: The European Union has tabled its terms and conditions for the free trade agreement (FTA) with India and is awaiting India’s response.

According to a PricewaterhouseCoopers (PwC) report on the possible impact of the Indo-EU agreement, exports of Indian goods to the EU could rise 18.7 per cent, while foreign direct investment (FDI) from the EU to India could rise 27 per cent.

“We have tabled our terms and conditions and are waiting for the same from the Indian government. After we receive it we can start the negotiations. It was mutually agreed after the formation of the high level trade group that the elimination of duties on 90 per cent of tariff lines and trade volumes would be recommended in the next seven years,” said Daniele Smadja, ambassador and the head of delegation of the European Commission to India, Nepal and Bhutan, at an interactive session organised by the Indian Chamber of Commerce.

The specific areas to be covered by the FTA include trade in goods and services, investments, trade facilitations, public procurement, technical regulations, intellectual property rights and geographical indications, competition policy and dispute settlement.

Unlike other regions such as Latin America, bilateral trade between India and the EU does not feature commodities.

As a result, agricultural products are not expected to be a major part of the FTA negotiations, Smadja added.

The FTA agreement would also include the elimination of non-tariff barriers but India might lose revenues because of customs duty reduction.

Average import duty in India is 7.5 to 10 per cent, while that in the EU is between 3 to 8 per cent.