Strategic Trade Expansion
The United States Trade Representative, Jamieson Greer, recognized India's potential to significantly benefit from the EU trade deal, which offers broader
access to European markets. Beyond the trade agreement with New Zealand, India further solidified its position by inking a deal with Oman in December during PM Modi's visit to Muscat. These strategic moves have altered the narrative, underscoring India's proactive approach to international trade and its commitment to fostering robust economic partnerships.
The EU Deal's Impact
The EU-India FTA, often dubbed the "Mother of all Deals," holds immense significance, encompassing 25% of the global GDP and accounting for one-third of international trade. This agreement is a pivotal step in expanding India's economic reach and enhancing its global influence. The swift conclusion of several trade deals in a matter of weeks, including those with Oman, New Zealand, and the EU, highlights India's strategic prowess and its ability to negotiate favorable terms in the global marketplace. The Trump administration's reaction to the EU-India FTA demonstrated the deal's impact on the international trade landscape.
Upcoming Key Agreements
Further strengthening its international ties, India anticipates a visit from Canadian Prime Minister Mark Carney in March. During this visit, key agreements are expected to be signed, focusing on crucial sectors such as uranium, energy, minerals, artificial intelligence (AI), and education, according to Reuters. These agreements will open up new avenues for collaboration and investment, thereby stimulating economic growth and technological advancement in India. Experts emphasize that New Delhi has successfully created substantial trade leverage, particularly with the FTA with the EU, indicating its strong position in international negotiations.
Key Trade Agreements
In recent developments, India and the European Union (EU) announced the conclusion of negotiations for a free trade agreement (FTA). Moreover, the India-UK Comprehensive Economic and Trade Agreement, signed in July 2025, facilitated duty-free access for a remarkable 99% of Indian exports, with significant benefits for labor-intensive sectors such as textiles, leather, and gems. The India-EFTA Trade and Economic Partnership Agreement (TEPA) came into force in October 2025 following ratification by Switzerland, Norway, Iceland, and Liechtenstein. These agreements are major milestones in India's trade strategy, promising enhanced economic opportunities and bolstering its global standing.
