High-level officials from India and the 27-member European Union (EU) are scheduled to commence their next series of discussions for a proposed free trade agreement (FTA) on Monday, October 6, 2025, in Brussels. These talks are geared towards resolving outstanding issues and accelerating the conclusion of negotiations, according to a government official.
This upcoming round marks the 14th session of negotiations between the two major economic entities. The five-day talks are expected to begin promptly on October 6.
Union Commerce and Industry Minister Piyush Goyal recently voiced his confidence that both sides would reach and sign the comprehensive agreement in the near future, underscoring the political will to finalize the deal.
The primary objective of this ambitious pact is to significantly enhance bilateral trade volumes and investment flows between India and the EU.
Minister Goyal is also slated to meet with EU Trade Commissioner Maros Sefcovic in South Africa later this month. This meeting will serve as an opportunity to review the progress of the ongoing negotiations, especially as both parties have set a December deadline for their conclusion.
Sefcovic, accompanied by European Commission’s Agriculture Commissioner Christophe Hansen, visited India last month to assess the negotiation’s status with Minister Goyal, highlighting the importance both regions place on these discussions.
Both India and the EU have mutually committed to wrapping up these complex negotiations by December of this year.
The dialogue for a comprehensive FTA, an investment protection agreement, and a pact on geographical indications had been stalled for over eight years, resuming only in June 2022. Previous disagreements primarily revolved around the extent of market opening each side was willing to commit to.
Key demands from the EU include substantial reductions in customs duties on products like automobiles and medical devices. Additionally, the bloc is pushing for lower taxes on other goods such as wine, spirits, meat, and poultry, alongside a robust intellectual property rights regime.
Should the agreement be successfully concluded, it is expected to significantly improve the competitiveness of various Indian exports to the EU, including ready-made garments, pharmaceuticals, steel products, petroleum products, and electrical machinery.
The India-EU trade pact negotiations encompass an extensive range of 23 policy areas or chapters. These include critical sectors such as trade in goods, trade in services, investment, sanitary and phytosanitary measures, technical barriers to trade, trade remedies, rules of origin, customs and trade facilitation, competition policy, trade defence mechanisms, government procurement, dispute settlement procedures, intellectual property rights, geographical indications, and sustainable development provisions.
In the fiscal year 2024-25, India’s bilateral trade in goods with the EU stood at a substantial $136.53 billion, with Indian exports amounting to $75.85 billion and imports from the EU totaling $60.68 billion. This makes the EU India’s largest trading partner for goods.
The European Union market alone accounts for approximately 17% of India’s total exports, while the EU’s exports to India represent about 9% of its overall international shipments.
Furthermore, bilateral trade in services between India and the EU was valued at an estimated $51.45 billion in 2023, underscoring the broad economic engagement between the two regions.