EFIC has published a position paper on the EU–India Free Trade Agreement (FTA), welcoming the agreement as an opportunity to strengthen trade relations with India and open new market opportunities for European furniture companies. However, EFIC stresses that the agreement must ensure fair competition, reciprocity and a level playing field, while avoiding imbalances that could undermine the competitiveness and resilience of the European furniture industry.
The position paper calls for the removal of non-tariff barriers before the FTA enters into force, including concrete commitments and a clear timeline from India regarding the removal of the Quality Control Orders applicable to furniture, cabinet hinges and wood-based panels. EFIC also raises concerns about the imbalance created by the gradual liberalisation of certain EU furniture exports to India over periods of five, seven or ten years, while Indian furniture exports to the EU would benefit from full and immediate tariff liberalisation.
EFIC therefore calls for continuous monitoring of trade flows, import surges, trade balances and impacts on European production. The position paper also highlights the need to address differences in labour costs, regulatory frameworks and environmental standards; strengthen market surveillance and customs controls; monitor potential circumvention and changing global sourcing patterns; and ensure that the bilateral safeguard mechanism can be used rapidly and effectively if Indian imports cause or threaten to cause serious disruption to the EU furniture industry.
