International

EU seeks India help for Iran nuke talks

EU seeks India help for Iran nuke talks

February 10, 2012 | 12:00 AM
HIV and Aids campaigners carry a giant balloon in the shape of a pill during a protest rally in New Delhi yesterday against the negative impact of the EU-India Free Trade Agreement (FTA) on affordable medicines across developing countries
Agencies/New Delhi

The European Union yesterday asked India to use its influence to bring Iran to the negotiating table over its nuclear programme, and Brussels and New Delhi expressed confidence on reaching a free trade deal this year. “We shared our deep concern on the Iranian nuclear programme,” European Council President Herman Van Rompuy said after the 12th EU-India summit in New Delhi. “I asked Prime Minister Manmohan Singh to use India’s leverage towards Iran to help bring Tehran back to the negotiating table,” he said.Singh said the Iranian nuclear issue should be settled through negotiation. “There have been problems with the Iran nuclear programme,” he said. “We sincerely believe that this issue should be resolved by giving maximum scope to diplomacy.” The EU has placed an embargo on Iranian oil and has frozen accounts of its central bank to try to compel Tehran to give up its atomic programme. India, which has traditionally had good ties with Tehran, imports 12% of its oil from Iran and is not inclined to participate in the sanctions.Foreign policy analysts have long suggested that New Delhi could mediate to facilitate talks with Iran, which has maintained its nuclear programme is for peaceful purposes. European Commission President Jose Manuel Barroso said India and the EU had taken a “significant step” in negotiations over the trade pact, the “single biggest trade agreement in the world,” covering 1.7bn people.“The contours of the final agreement are emerging,” he said. “... I expect the finalisation of these negotiations this autumn.” India, Asia’s third largest economy, and the 27-nation EU have missed several deadlines on the broad-based trade agreement, negotiations on which began in 2007. The main sticking points on the agreement so far have been the EU’s demand for India to cut import duties on cars, wines and spirits. It has also lobbied India to open its accounting, banking and legal services. New Delhi has been demanding a higher number of professional visas and removal of the EU’s labour market test, which requires employers to demonstrate no suitable candidates from within the EU are available before a non-EU resident may be hired.The EU is India’s largest trading partner, accounting for £114bn in trade in goods and services in 2010. That amount was expected to double by 2015 if the pact is finalised. But aid groups have expressed concern over intellectual property rules in the trade accord, which they said would harm India’s production of generic drugs, sold to millions of patients at reduced prices in poor countries. “We have watched too many people die in places because the medicines they need are too expensive,” Medecins Sans Frontieres president Unni Karunakara said. “We cannot allow this trade deal to shut down the pharmacy of the developing world.”

February 10, 2012 | 12:00 AM