New Delhi: India and the European Union (EU) have reaffirmed their commitment to finalize the long-awaited India-EU Free Trade Agreement (FTA) by the end of 2025. The announcement comes as a high-level EU delegation, led by the Director General for Trade, is set to visit India next week to discuss the remaining issues and chart a roadmap toward a “constructive conclusion” of the deal.
The visit follows Union Commerce Minister Piyush Goyal’s recent three-day trip to Brussels, where he held what the Commerce Ministry described as “productive and meaningful” discussions with Maroš Šefčovič, the European Commissioner for Trade and Economic Security, and his team. Talks focused on resolving outstanding concerns in the FTA negotiations, including tariff structures, non-tariff barriers, and new EU regulatory measures.
In a statement, the Commerce Ministry said, “Both sides reaffirmed their shared commitment to conclude the India-EU FTA by the end of 2025, following the direction of Prime Minister Narendra Modi and European Commission President Ursula von der Leyen during the College of Commissioners’ visit to New Delhi in February 2025.”
The ministry noted that the negotiations aim to achieve a mutually beneficial, balanced, and equitable trade agreement that reflects the deep political trust and strategic partnership between India and the EU. It added that both sides are working to ensure the FTA addresses tariff and non-tariff barriers, creating a transparent and predictable regulatory environment that fosters trade growth.
During the talks, India also raised concerns over several new EU regulations—73 in total—that could impact its exports. Goyal cautioned that EU businesses could face an “existential issue” if these matters were not addressed. Intensive discussions were also held on sensitive sectors such as steel, automobiles, and the Carbon Border Adjustment Mechanism (CBAM).
Both sides agreed to work toward finalizing non-sensitive industrial tariff lines and to ensure preferential treatment for labour-intensive sectors, such as textiles and leather goods.
India is also reported to have invited European Commission President Ursula von der Leyen to attend the Republic Day celebrations in January 2026, signaling growing diplomatic and economic engagement between New Delhi and Brussels.
The upcoming EU delegation visit is expected to accelerate negotiations and pave the way for a comprehensive agreement that could reshape India-EU trade relations, promoting mutual prosperity and deeper strategic cooperation.
