India and the European Union are set to finalize their long-awaited free trade agreement by December this year, as per Union Minister of Commerce and Industry Piyush Goyal. The agreement is expected to be operational by February-March 2027, offering India improved access to the European market through reduced tariffs on various goods. Goyal mentioned that nearly the entire European market will be accessible to India with minimal duties once the FTA is in effect.
The announcement of the conclusion of negotiations for the FTA was made on January 27 by India and the 27-nation European Union. Goyal referred to this agreement as a significant development. It is anticipated that around 93% of Indian exports will benefit from duty-free entry into the EU market under this proposed pact.
Goyal emphasized India’s increasing significance in the global economy, noting that many countries are eager to strengthen economic ties with India. He highlighted that various nations are looking to enhance economic partnerships with India, recognizing its potential in the global market. Additionally, Goyal shared that discussions on a potential bilateral trade agreement between India and the United States will take place during the visit of US Trade Representative Jamieson Greer to India this week.
The minister stressed the importance of preserving India’s cultural heritage alongside economic progress during an interaction with chartered accountants. He echoed Prime Minister Narendra Modi’s belief that development should be complemented by the preservation of cultural heritage. Goyal emphasized that for a nation to progress, it must also uphold its cultural values, traditions, and heritage.
