S. Korea-EU FTA to boost trade by 20 pct: British minister

SEOUL, Oct. 7 (Yonhap) -- A free trade agreement (FTA) between South Korea and
the European Union will eventually increase bilateral trade by about 20 percent
if it is fully implemented, British Business Secretary Peter Mandelson estimated
Wednesday.
After two years of drag-on negotiations, South Korea and the EU wrapped up trade
talks in July with the two sides agreeing to sign a preliminary deal this month.
In a speech to business executives in Seoul, Mandelson predicted the deal would
boost two-way trade -- totaling US$98.4 billion (66.8 billion euros) last year --
by 13 billion euros.
"The EU-Korea FTA, assuming that we can ensure that it is successfully ratified,
will further deepen Korean access to this market," Mandelson said.
Mandelson, who served as EU Trade Commissioner when the 27-nation economic bloc
launched free trade talks with South Korea in 2007, said the pact would open up
new opportunities for Korean companies to attract British and European
investment.
He also expected the deal with South Korea to take effect next year, echoing
views from South Korean officials.
If signed, it would be the EU's first free trade deal in Asia. The EU was South
Korea's second-biggest trading partner after China and its largest foreign
investor in 2008.
After the deal is signed, it must be translated into the EU's 23 official
languages before getting final approvals from EU governments. The deal must be
also ratified by the South Korean National Assembly.
Mandelson, the de facto deputy for British Prime Minister Gordon Brown, urged
South Korean companies to invest more in his country.
"Over the last twenty years or so, Britain has welcomed a huge number of Korean
businesses -- somewhere around 150," he said.
"Many of them have become part of the British corporate landscape. I hope the
next twenty years will bring another 150," said Mandelson.
Mandelson was due to meet South Korean President Lee Myung-bak later in the day.
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