India Engages in Trade Negotiations with EU and Other Nations

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Commerce and Industry Minister Piyush Goyal informed the Lok Sabha that India is actively engaged in trade negotiations with the European Union (EU) and several other countries, aiming to secure balanced agreements that protect domestic interests while enhancing market access for Indian goods and services.

According to Goyal, discussions with the EU on a Free Trade Agreement (FTA) have progressed to the 12th round, with offers exchanged on goods, services, and investment. The next round of talks is scheduled for September, and both sides are targeting completion of the deal by the end of 2025. So far, agreement has been reached on about eight of 20 negotiation “chapters,” covering areas such as customs procedures, trade facilitation, and certain intellectual property provisions. Sensitive sectors, including dairy and rice, are expected to remain protected from tariff reductions.

The minister also confirmed that India is addressing regulatory issues arising from new EU measures, such as deforestation rules and the Carbon Border Adjustment Mechanism (CBAM), through what he described as “reciprocal and equitable” solutions that safeguard Indian industry. He noted that India has held multiple high-level meetings with EU representatives, including three meetings with EU Trade Commissioner Maroš Šefčovič in just over a month.

Beyond Europe, Goyal reported that the India-Oman FTA is nearly finalised, and talks with the United States have advanced through five negotiation rounds as of mid‑July 2025. These trade discussions are part of India’s broader strategy to strengthen its position in global value chains and expand opportunities for domestic exporters in sectors such as pharmaceuticals, steel, apparel, and engineering goods.Bilateral trade in goods between India and the EU stood at approximately USD 137 billion in 2023‑24, with services trade estimated at USD 51 billion. The EU remains India’s largest trading partner for goods, accounting for around 17 percent of total exports. Goyal emphasised that any final agreement must be mutually beneficial, ensuring fair regulatory treatment and protecting India’s economic sovereignty.