EU-Asian Free Trade Agreement Boosts Agri-Food Sector, Creates Billions in Trade
The report looks at how a Free Trade Area between the EU and Asian countries like India, South Korea, and ASEAN nations could impact agriculture. By analyzing trade negotiations and flows, the study found that liberalizing trade could increase EU-Asian trade but also divert trade from other countries. While Asian countries' agricultural production is mainly driven by income and population growth, the EU could see a decline in overall imports due to trade diversion effects. Under full liberalization, Indian agri-food exports to the EU could grow by 4 billion euros, South Korean exports could increase significantly, and European agri-food exports could expand by almost 11%.