India’s pursuit of a Free Trade Agreement (FTA) with the European Union (EU) has gained momentum following the successful conclusion of a Comprehensive Economic and Trade Agreement (CEPA) with the United Kingdom. The Centre confirmed that twelve rounds of negotiations have been completed with the EU since talks began in June 2022, the most recent being held in July 2025. Aiming for a comprehensive and mutually beneficial pact by the end of the year, India and the EU have exchanged market access offers for both goods and services, finalised some chapters, and agreed to conclude an interim version to expedite negotiations.
Minister of State for Commerce and Industry Jitin Prasada informed the Rajya Sabha that merchandise exports to the EU have shown a consistent upward trajectory over five years, rising from $41.36 billion in FY 2020–21 to $75.76 billion in FY 2024–25. Similarly, exports to the United States have increased from $51.6 billion to $86.5 billion during the same period, reflecting India’s strengthening position in global trade.
The EU agreement is expected to follow the India-UK CEPA, which was concluded after intensive negotiations. The Centre said forthcoming discussions with the EU, scheduled for early September in India, will focus on resolving outstanding issues and finalising remaining chapters.
Commerce and Industry Minister Piyush Goyal recently underscored the significance of the India-EU FTA, describing it as a meaningful step toward inclusive growth and deeper economic integration. During his visit to Stockholm for the India-Sweden High-Level Trade and Investment Policy Forum, Goyal engaged with leaders from the Confederation of Swedish Enterprises and prominent Swedish and Indian businesses. He reiterated the potential for collaboration across industries and reaffirmed the government’s commitment to expanding strategic trade partnerships.
The trajectory of India’s trade agreements signals a renewed emphasis on broadening economic horizons with global partners. With negotiations progressing with the EU and upcoming engagements with the ASEAN bloc, India is poised to play a pivotal role in reshaping global supply chains and fostering resilient trade frameworks.
