London: India and the European Union have made slow but steady progress in their talks for a comprehensive trade and investment pact and are likely to seal the deal by the end of the year, Commerce Minister Kamal Nath said here today.

Briefing newsmen along with EU Trade Commissioner Peter Mandelson at the India House, Nath said, "We have made a substantial progress in our discussions. We are moving toward the agreement slowly, but it will be a large agreement and is expected to be signed by the end of this year."

However, on WTO talks, Nath said "convergence" is eluding.

Talking on the proposed India-EU agreement, the Minister said, "We have discussed forward movements and also the contents. Officials will now carry them forward."

Nath said India is committed to the rule-based multi- lateral system and is also committed to the protection of subsistence of farmers.

"Commerce is up for negotiation but not the livelihood and security of small farmers. We are looking forward for talks in Geneva and expect that areas of disagreement are reduced," Nath added.

Answering questions on the progress made on WTO talks, the Minister said, "Unless they respect our sensitivities relating to development and security, we are not heading toward a convergence."

Besides agriculture subsidy, on which there is less convergence, there are 130 other issues on which there are disagreements between the developed and developing countries and these must be brought down to 50,he added.

Source : PTI