EU TO START FTA NEGOTIATIONS WITH SINGAPORE

By Zakaria Abdul Wahab

SINGAPORE, Mac 3 (Bernama) - Singapore and the European Union (EU) will meet
next week to start negotiations for a free trade agreement (FTA), marking a
milestone in the EU's longstanding relations with Singapore.

EU Trade Commissioner Karel De Gucht and Singapore Trade and Industry
Minister Lim Hng Kiang made the announcement after they met here Wednesday.

The first round of negotiations is scheduled to take place between March 8
and 12 in Singapore.

De Gucht said the proposed free-trade agreement would strengthen economic
ties between Singapore and the EU, provide new opportunities for traders and
consumers alike and contribute to generating growth on both sides of the
economies.

"For Europe, it will also mark an important stepping-stone in EU's
engagement with the Asean region," he said.

Meanwhile, Lim said the FTA, when concluded, would further strengthen the
excellent economic relations between Singapore and the EU.

EU is Singapore's largest trading partner and foreign investor, with
bilateral trade exceeding 55 billion euros (uS$74.9 billion) in 2008.

Conversely, Singapore is EU's 15th largest trading partner and largest
trading partner in Asean.

Last December, EU member states gave the green light for the commission to
pursue negotiations towards free trade agreements with individual Asean
countries, beginning with Singapore.

The Asean countries, together, are the EU's third largest trading partner
outside Europe, with annual bilateral trade in goods and services amounting to
some 175 billion euros (US$238.4 billion).
-- BERNAMA