Explainer: India-EU FTA, which can double India's exports
At the India-EU Summit on 27 January 2026, leaders discussed early signing of a proposed free trade agreement (FTA); the agreement remains proposed/pending and the source does not say negotiations were concluded on that date.
Formal signing and ratification remain pending, and the agreement would eliminate or substantially reduce tariffs covering roughly 96.6% of EU exports by value and about 99.5% of Indian goods by value, with most cuts phased in over several years and exclusions for sensitive products.
The deal is set to save €4 billion a year in duties and could double exports (no timeframe given in the source).
Upcoming talks will also focus on new tech like AI and 6G, plus smoother sharing of classified information.
What does the deal cover?
This FTA connects two billion people and covers 25% of the world's GDP, pretty huge.
Indian textiles, gems, and IT services get easier access to Europe, while auto tariffs are dropping too.
The source does not specify any EU funding amount or a "next two years" timeframe for climate assistance.
While some foods like dairy and rice are not included, the deal boosts jobs, innovation, and global cooperation at a big scale.