India would soon have free trade agreements with the European Union, Israel, Gulf and Eurasian countries. This is just not a step towards economic integration but also a means to curb trade barriers like import taxes and tariffs between nations. Free trade agreements have a direct impact on reduction of prices and also leads to increase in traded goods.
You would wonder how this would lead to a cheaper Ducati or BMW?
The fact is that when there is a free trade agreement with the European Union, it will automatically reduce import duties on your favorite cars and bikes from European countries. So, a huge cut in prices of Aprilia, Ducati, MV Agusta, BMW Motorrad.
A similar impact would be seen in case of the luxury cars- Audi, BMW and Mercedes. Nirmala Sitharaman, Union Minister for Commerce and Industry has told the Economic Times that the ministry is working over to form an association with the European Union. Once the issue of Britain’s problem with European Union is chalked out, we can definitely expect something positive.
For now, India has free trade agreements with ASEAN nations, Japan, Canada and South Korea.