EU and US 'in biggest trade deal

17 June 2013 Last updated at 22: UK Prime Minister David Cameron has announced plans for what could be "the biggest bilateral trade deal in history" between the EU and the US. He announced the start of formal negotiations on a trade deal worth hundreds of billions of pounds, aimed at boosting exports and driving growth. Mr Cameron said a successful agreement would have a greater impact than all other world trade deals put together. The talks were announced ahead of the G8 summit in Northern Ireland. US President Barack Obama said the first round of negotiations would take place in Washington in July. They aim to conclude by the end Analysis Duncan Bartlett Business reporter, BBC World Service The French have already expressed misgivings about parts of the trade deal. They are worried that if they cannot protect their film industry from Hollywood's dominance, their unique artistic culture will be undermined. After intense talks with other EU countries last week, it seems the French have persuaded the negotiators to honour what they call a cultural exclusion. That leaves the way open for other sectors to say they are also exceptional and should not be included in the trade deal. The French claim the Americans want to exclude financial services from the free trade negotiations. The Americans have not acknowledged that publicly but it is a reminder that behind closed doors the discussions might be very difficult. Mr Obama said he was confident of reaching an agreement. "There are going to be sensitivities on both sides... but if we can look beyond the narrow concerns to stay focused on the big picture... I'm hopeful we can achieve [a deal]." 'Once in a generation' Mr Cameron said the deal could be worth £100bn to the EU economy, £80bn to the US and £85bn to the rest of the world. He said the pact could create two million jobs, and lead to more choice and lower prices in shops. "This is a once-in-a-generation prize and we are determined to seize it," said Mr Cameron. European Commission President, Jose Manuel Barroso. who will lead the negotiations with President Obama, said that integrating the EU and US economies would not be easy but "we will find convincing answers to legitimate concerns". "We'll find solutions to thorny issues, we'll keep our eyes on the prize and we will succeed," he said. Herman Van Rompuy, the president of the European Council, said: "Together Europe and the United States are the backbone of the world economy. Opening up that space further for opportunities for business and consumers is simply common sense." The trade talks had been under threat from a potential veto from France, but on Friday EU ministers agreed to French demands to exclude the film and television industry Some had argued that omitting the media business from the trade talks even before they had begun could prompt the US to seek exemptions for other sectors.