Trade agreement between the EU and India welcomed by Portuguese business
The President of the Portugal India Business Hub (PIB-HUB), Altino Álvares, has reacted positively to the news of the “mother of all trade agreements” being signed between the European Union and India, opening up the possibility of increasing trade between Portugal and India after exports had already doubled between 2014 and 2024.
Portugal exports a modest €270 million of goods and services to India but that figure could grow thanks to the commercial trade agreement signed between the European Union and India.
The slashing or elimination of tariffs on over 90% of exports from EU countries to India where Portugal exports around €270 million of goods and services, could significantly increase those exports.
Among the goods that European countries exports to India include machinery, pharmaceuticals, plastics, lamb, bread products and chocolate.
Tariffs have also been slashed on wine and other alcoholic drinks and the EU’s expectation that the “mother of all agreements” as it has been dubbed, will double exports to India by 2032.
Portugal primarily exports industrial and raw materials to India, with top 2024 exports including pulp/paper, machinery, electrical equipment, plastics, and mineral products like stone and cement. Other key exports include pharmaceuticals (antibiotics) and automotive components, reflecting a shift toward high-tech sectors.
In 2014 Portugal exported around €121.5 million of goods and services to India. Since then it has doubled. And in 2024 over 700 Portuguese companies exported to India and over 3,000 imported goods from India to Portugal.
The President of the Portugal India Business Hub (PIB-HUB), Altino Álvares, pictured below) reacted by saying: “This is a strategic sign that will bring predictability and help make investments possible”.
“The benefits will be across-the-board in the EU and Portugal can have a special role. I see Portugal as a strategic bridge to Europe and… today the two countries (India and Portugal) have good cultural and diplomatic ties”
“Indian business leaders, when talking about Portugal know there is a rich history that links Goa and Bombay to Portugal, and Bombay is the economic centre of India and I think that Portugal can take advantage of this relationship,” he added.
SOURCES Trading Economics and Negócios
Image: The Ambassador of India to the European Union (EU), Santosh Jha, in an interview with Lusa at the Indian Embassy in Brussels discussing a meeting of EU-India leaders.. Santosh said in 2023 that “if one observes the trajectory of the Indian economy”, it can be seen that India “will become the third largest economy in the world by 2030”, and that it is “very possible” that later it could become “the second or even top economy in the world.”. TONY DA SILVA/LUSA
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