For years, Brussels and New Delhi negotiate a free trade agreement. It is a historical, tremendously ambitious and, above all, necessary for all parties: for India because the union is its third commercial partner (and represents 10% of its total trade); for union because it desperately seeks to diversify partners in an increasingly aggressive and polarized context.
Well, negotiations They are about to derail and all by grain of rice.
Basmati rice, to be concrete. Basmati is a highly appreciated rice. Of long and delicate fragrance, this variety of rice has been growing at the foot of the Himalayas, between India and Pakistan. Even today.
In fact, According to 2019 dataIndia produced 65% of the world’s basati. Pakistan, the other 35%. Something perfectly normal in two countries that have 3,323 kilometers of border. The problem is that, in short, They are India and Pakistan.
Why not be friends? In 2018, India requested the label of exclusive protected geographical indication for the Basmati in the EU. There the problems began. Pakistan, as was predictable for anyone who knew the rivalry between the two countries, fell flatly and claimed it for himself.
Although it seems a minor issue, a decision in favor of one country or another could seriously affect exports of the victim.
And India wants to take advantage. No one can recriminate it to New Delhi: the current geopolitical situation has cornered a European Union. And it is not that the previous situation was great strength. It is only enough to remember that before the pandemic (and probably after) it was not manufactured Not a gram of paracetamol throughout the continent.
Therefore, what was some common sense, in the middle of the commercial war, has become pressing: Brussels needs to expand the pitch and India is its great trick to do so.
We live rare times (or not so much). For years, the international commercial consensus that gave the World Trade Organization and its standards the pivotal nature of world economic dynamics. Today, between Bravuonadas and Wars, we have discovered that this consensus was nothing more than a fiction.
The economic fragmentation, the collapse of multilateralism and the growing uncertainty have led to such crisis of the system that even a grain of rice can put it in check.
Image | Kanesue | Joshua Olsen
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