New Delhi, April 17 -- New Delhi: In the backdrop of global trade being rocked by tariffs imposed by the US and threats of more coming soon, India and the European Union (EU) have stepped on the accelerator on their long-in-the-works free trade agreement (FTA).

In the latest round of talks between the two sides in Brussels on 10-14 March, a move to reduce duties on textile exports from India and premium alcoholic beverages from the EU has emerged as a key negotiation manoeuvre, three people aware of the matter told Mint on the condition of anonymity.

Currently, India imposes up to 150% duty on alcoholic beverages from the EU, while the 27-country EU levies a duty of up to 14% on Indian textile goods. Comparatively, India's textile rival...