New Delhi:
Commerce and Industry Minister Piyush Goyal on Tuesday said the ambitious India–European Union Free Trade Agreement (FTA) is likely to be implemented within the 2026 calendar year, just hours after New Delhi and Brussels formally concluded negotiations for the landmark pact.
Earlier in the day, India and the 27-nation European Union announced the conclusion of talks for the agreement, which has been described as the “mother of all trade deals” due to its scale, scope and long gestation period.
FTA To Boost Indian Exports, Cut Costs On EU Luxury Goods
Once implemented, the agreement will allow 93 per cent of Indian exports to enjoy duty-free access to the EU, one of the world’s largest consumer markets. At the same time, luxury cars, wines and other high-end products from Europe are set to become more affordable for Indian consumers.
“Every agreement stands on its own legs, and this is a wonderful agreement. It will be taken up for a legal scrubbing on a fast-track basis. We do hope that we should be able to celebrate the entry into force of this agreement within calendar 2026 itself,” Goyal said while addressing a special briefing during the state visit of the President of the EU Council and the President of the European Commission to India.
Two Decades Of Negotiations Culminate In Historic Pact
The minister noted that the deal was finalised after over 20 years of negotiations, underlining its complexity and strategic importance.
He said the agreement would create a combined market of around 2 billion people, spanning India — the world’s fourth-largest economy — and the EU, the second-largest economic bloc globally.
Taken together, India and the EU account for 25 per cent of global GDP and nearly one-third of global trade, valued at approximately USD 11 trillion out of USD 33 trillion in international commerce.
Balanced, Equitable Deal With Investment Upside
Goyal stressed that both sides had moved past sensitive issues to craft a “balanced, equitable and fair” agreement.
“This is a win-win agreement for all sections of industry in India and the European Union,” he said, adding that the pact would unlock significant new investment opportunities across sectors.
With this agreement, the European Union becomes India’s 22nd FTA partner.
India’s Expanding Global Trade Network
Since 2014, the NDA government has signed or concluded trade agreements with Mauritius, the UAE, Australia, EFTA countries, Oman, the UK and New Zealand. In 2025, India formally signed FTAs with Oman and the UK, and announced the conclusion of negotiations with New Zealand.