New Delhi, March 1 -- A European Union (EU) memo on the India-EU free trade agreement (FTA) acknowledged the "very high level of protection and the sensitivities of India" while balancing interests in the agri-food sector. Meanwhile, the provisional FTA text records the bloc's commitment to the "mobilisation of financial resources" to help India reduce greenhouse gas emissions. Summarising the FTA in a memo, the EU said: "In the agri-food sector, considering the very high level of protection and the sensitivities of India, the agreement is balanced because it opens market access in key export interests while preserving sensitivities." India and the EU published the provisional text on Friday without disclosing the tariff schedule, which will be finalised upon signing by both parties. According to the provisional text, Chapter 14 deals with "Good Regulatory Practices". An annexure to the chapter specifically addresses the Carbon Border Adjustment Measures (CBAM), which was one of the most contentious issues during negotiations. India agreed to CBAM after the EU assured technical and financial support, which finds explicit mention in the provisional text made public on Saturday. The EU's CBAM, or carbon tax, is a horizontal regulation applicable to all its trading partners. The import duty on select carbon-intensive goods is levied based on their greenhouse gas emissions to offset carbon leakage. Carbon leakage occurs when EU firms import carbon-intensive products from countries with less stringent climate policies. Under the FTA, India accepted high-tech, cost-intensive measures to reduce greenhouse gas emissions in goods such as steel, cement and aluminium. In return, the EU extended both technical and financial support. "The EU shall endeavour to support India's greenhouse gas emission reduction efforts, in particular through the mobilisation of financial resources, tools, instruments and related investments, as appropriate," the text said. The second article of the FTA text on CBAM grants most favoured nation (MFN) treatment to India. "For carbon border adjustment measures, the Parties shall apply no less favourable conditions to the other Party's goods than those applied to like goods from other third countries as regards any flexibilities granted in the implementation of their carbon border adjustment measures," the text added. The EU's memo said both India and the European bloc have protected their respective sensitivities in the agri-food sector....