It seems India has arrived on world stage in trade negotiations if the tough line New Delhi has taken on extending an investment deal with the Netherlands is anything to go by.
While the investement treaty between India and the Netherlands will expire on November 30, New Delhi has so far refused to extend the Dutch agreement.
Consequently, European officials are warning this could threaten business ties with the rest of the EU.
European Commission investment commissioner visited New Delhi recently to persuade the matter, but Indian ministers have dug in their heels.
According to a report in Financial Times, people close to the talks say there has been no communication from the Indian government since that visit.
India is looking for more favourable terms.
Kavaljit Singh, director of New Delhi’s Madhyam think-tank, in the FT report said: “The Indian government is not very keen to renegotiate the existing treaty. They want to let it lapse and force the Europeans to come and negotiate for future ones.”
Letting the agreements expire suggests India has come of age in trade deals which stems out of New Delhi’s increasing confidence towards trade negotiations.
