The European Union of 15 Member States will enlarge in 2004 to a Union of 25 Member States. This, together with the introduction of the euro, is one of the most important steps in the history of the European Union.       The European Union will extend the zone of peace, stability and prosperity it has successfully created in the last 50 years and will add 100 million people to the existing EU market of 370 million, boosting economic growth and creating jobs in both old and new Member States.      There is no doubt that enlargement will be good for the 25 countries in the EU but what will be the impact of EU Enlargement on third countries like

India.? It partly depends on the EU's continuing efforts to assist India as well as on India taking a positive and proactive approach to EU enlargement and adopting constructive policies to tap the opportunities offered by enlargement. First of all one should realise the following:       The EU is already an influential player in international relations. The enlarged EU will carry the voice of at least 25 countries, and nearly half a billion people. If this weight can be brought to bear in support of development issues and developing countries, it would be a substantial gain.       Secondly, the EU is already the world's largest trading bloc. Following enlargement, the region will account for some 20 per cent of world trade and be the source of nearly 50 per cent of world outward foreign direct investment. In the long term, economic growth and development in the new Member States will create new opportunities, also for third world countries. Taking into account the fact that the EU is already India's largest trading partner and most important foreign direct investment partner, this relationship only stands to gain from an enlarged EU.       Enlargement will increase the size of the EU single market, in which non-member countries and their exporters will encounter a single set of tariffs, trade rules and administrative procedures. In general, the EU tariffs are lower than those of the acceding countries, so enlargement will reduce tariffs rather than increase them.       Thirdly, the EU is already the largest provider of official development assistance (ODA) and humanitarian assistance in the world, contributing over half of global ODA of which 20 per cent is managed by the European Commission. on behalf of the EU. The size and timing of the new Member State's development contributions are still to be negotiated but the overall trend is clear: the future EU will be an even more substantial development partner than it already is. The EU already actively supports India in its development goals and its ambitious socio - economic reforms. The combined effort of the European Commission and the EU Member States make us the largest donor for India's development.       For these reasons, a strong and enlarged EU is in the interest of India as it will provide for a sound and more structured relationship with the 25 members. Now is the time to make that relationship an even more solid and lasting one, one in which we both benefit from EU enlargement.