India is in the final stages of sealing a long-awaited trade agreement with the European Union, with talks likely to conclude by January 26, according to Trade Secretary Rajesh Agrawal, reported Reuters.
Speaking on Thursday, Agrawal said negotiations between the two sides are “very close” to completion. Officials are also exploring whether the deal can be formally wrapped up before senior leaders from India and the EU meet in New Delhi later this month.
Meanwhile, top European Union leaders are scheduled to attend India’s Republic Day celebrations on January 26. This will be followed by the India–EU Summit on January 27, where the trade agreement could feature prominently on the agenda.
If finalised, the deal is expected to strengthen economic ties between India and the EU, covering areas such as trade, investment and market access. Both sides have been pushing to conclude negotiations that have been ongoing for several years, aiming to boost bilateral trade and deepen strategic cooperation.
Also, once signed, the pact would become the European Union’s biggest free trade agreement so far, granting access to a market that accounts for nearly one-fourth of the global population.
Agriculture has remained a sensitive issue for India, with around 44% of its workforce dependent on the sector. Recognising this, the EU has accepted that products such as dairy and sugar will stay outside the deal.
The EU is currently India’s largest trading partner in goods, with bilateral trade crossing $136 billion in 2024–25. Once concluded, the deal would also become India’s 19th trade agreement and a key milestone in its trade strategy.
