FT: Conflict over Basmati threatens EU-India trade agreement

14:47 - 15.09.2025


September 15, Fineko/abc.az. The free trade agreement between the EU and India may break down due to New Delhi's desire to obtain the exclusive right to label basmati for its rice, which could strain relations with Pakistan, ABC.AZ reports with reference to the Financial Times, citing sources.

India applied for the exclusive use of the name in the EU in 2018, and Pakistan in 2023, indicating its growing regions. The EU is delaying the decision in order not to destabilize relations between the countries and not to recognize the disputed territories.

Negotiations on a free trade agreement have been underway since 2007, were suspended in 2013 and resumed in 2022. It is expected that the agreement can be concluded by the end of the year.