Is India-EU Trade Deal Next After India-UK FTA?
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Synopsis
The India-EU Free Trade Agreement negotiations are gaining momentum after the completion of the India-UK FTA. With 12 negotiation rounds completed since June 2022, both nations aim to finalize the deal by the end of 2025, promising a surge in economic relations.
Key Takeaways
- India and EU have completed 12 rounds of FTA negotiations.
- Merchandise exports to the EU are on the rise.
- Aiming for an agreement by the end of 2025.
- Next negotiation round scheduled in September.
- Interim version of the deal to be concluded first.
New Delhi, July 25 (NationPress) Following the successful conclusion of the India-UK Free Trade Agreement (FTA), attention now shifts toward the impending trade agreement with the European Union (EU). The Centre announced on Friday that negotiations for the FTA with the EU have been underway since June 2022, completing 12 rounds, with the most recent round wrapping up in July 2025.
The value of merchandise exports from India to the EU has experienced a significant increase over the past five years, rising from $41.36 billion in FY 2020-21 to an impressive $75.76 billion in FY 2024-25, as stated by the Minister of State for Commerce and Industry, Jitin Prasada, in a written response to the Rajya Sabha.
Both India and the EU are targeting to finalize a free trade agreement by the end of 2025.
In a similar vein, merchandise exports to the US have also seen substantial growth, escalating from $51.6 billion in FY 2020-21 to $86.5 billion in FY 2024-25, the minister reported.
India has successfully executed a Comprehensive Economic and Trade Agreement (CEPA) with the UK, following the completion of negotiations.
The upcoming months are pivotal for India’s international trade relationships as the government ramps up discussions with key partners like the EU and the ASEAN bloc.
Regarding the India-EU trade discussions, both parties have presented their market access proposals for goods and services. Certain sections of the agreement, referred to as 'chapters,' have been finalized, while talks continue on contentious issues. The next negotiating session is anticipated to occur in India during the first week of September, as per government sources.
Additionally, both sides have consented to expedite the process by concluding an interim version first.
Commerce and Industry Minister Piyush Goyal mentioned last month that the envisioned comprehensive and meaningful India-EU FTA emphasizes a shared commitment to strengthening economic ties and fostering a future of inclusive growth.
During his visit to Stockholm for the India-Sweden High-Level Trade and Investment Policy Forum, where he engaged with members of the Confederation of Swedish Enterprises and prominent businesses from both nations, the minister highlighted the vast potential for collaboration.
Point of View
The ongoing negotiations between India and the EU represent a significant step toward enhancing India’s global trade footprint. This move is timely and critical for fostering economic growth and strengthening international relationships.
NationPress
26/07/2025
Frequently Asked Questions
What is the status of the India-EU trade negotiations?
The negotiations for the India-EU Free Trade Agreement have completed 12 rounds since June 2022, with the last round held in July 2025.
When is the next round of negotiations scheduled?
The next round of trade talks is expected to take place in India during the first week of September.
What are the expected benefits of the India-EU FTA?
The India-EU FTA is anticipated to boost merchandise exports and strengthen economic ties between the two regions.
How have India’s exports to the EU changed recently?
India's merchandise exports to the EU have increased from $41.36 billion in FY 2020-21 to $75.76 billion in FY 2024-25.
Is there a timeline for finalizing the trade agreement?
India and the EU aim to conclude the trade agreement by the end of 2025.
