Page 62 - NIS English 16-28 Feb, 2026

INTERNATIONAL | India-EU Free Trade Agreement

Better Market Access Available
The combined market of India and the European Union
is estimated to be worth over ₹2091.6 lakh crore. This
free trade agreement will provide better market access
for over 99 per cent of India’s exports by trade value.

India’s Access to
European Markets
n India has secured preferential access to European Cooperation between India and
markets on 97% of tariff lines, covering the European Union constitutes
specifically 99.5% of trade value. a “Partnership for the Global
n Immediate duty elimination will be provided Good.” We will expand trilateral
for key labour-intensive sectors such as textiles,
leather and footwear, tea, coffee, spices, sports projects from the Indo-Pacific to
goods, toys, and gems, covering 70.4% of tariff the Caribbean, thereby providing
lines, which account for 90.7% of India’s exports. tangible support for sustainable
n Zero duty will be facilitated in 3 and 5 years on agriculture, clean energy, and
20.3% of tariff lines, covering 2.9% of India’s
exports, for certain marine products, processed women’s empowerment. Together,
foods, arms and ammunition, etc. we will work to establish the IMEC
n Preferential access will be provided on 6.1% Corridor as a key pillar of global
of tariff lines, covering 6% of India’s exports,
through tariff reductions for certain poultry trade and sustainable development.
products, preserved vegetables, bakery products,
etc., or through TRQs for cars, steel, etc. Narendra Modi, Prime Minister

there has reached approximately 40 billion euros. prices. The first and foremost principle for seizing this
Bilateral trade in goods and services has grown opportunity is to focus on quality. Enter the market with
steadily over the past few years. In 2024-25, India’s the best possible quality. By offering the best quality,
bilateral trade with the European Union was ₹11.5 you not only earn money from buyers in the 27 coun-
lakh crore, comprising exports of ₹6.4 lakh crore and tries of the European Union but also win their hearts
imports of ₹5.1 lakh crore. Exports from the European with the quality; its impact lasts for a long time.
Union to India include machinery, transport equipment,
and chemicals, while imports from India include ma- WHOLE-OF-SOCIETY PARTNERSHIP
chinery, chemicals, base metals, mineral products, and The partnership between India and the European Union
textiles. Trade in the services sector between India and has been described as a “Whole of Society Partnership”.
the European Union reached ₹7.2 lakh crore in 2024. The free trade agreement was concluded with this vision
in mind. This will provide easy access to the European
WIN HEARTS WITH QUALITY; Union market for India’s labour-intensive products. This
ITS IMPACT LASTS LONG includes textiles, gems and jewellery, auto parts, and
Prime Minister Narendra Modi has told all types of pro- engineering goods. New opportunities will be created
ducers that the historic agreement between India and in fruits, vegetables, processed foods, and marine prod-
the European Union has opened up a huge market for ucts. This will directly benefit the country’s farmers, fish-
manufacturers involved in the country’s industries and ermen, and the service sector. IT, education, traditional
businesses. Now, goods will reach the market at lower medicine, and business services will also benefit.n

60 NEW INDIA SAMACHAR || February 16-28, 2026