India Accelerates Trade Negotiations with EU, Canada, and the US

Gist India is making significant headway in its bilateral trade diplomacy, aiming to finalize major trade agreements with the European Union EU and Canada by the end of the year. Concurrently, the operationalization of the India-New Zealand Free Trade Agreement FTA is slated for October, while negotiations for a delayed interim pact with the United States continue. These developments represent a strategic pivot in India’s foreign trade policy toward securing preferential market access in developed economies, which is critical for boosting exports and integrating into global value chains. Background Free Trade Agreements FTAs and Comprehensive Economic Partnership Agreements CEPAs are bilateral or multilateral treaties that reduce or eliminate trade barriers, such as tariffs and quotas, to encourage cross-border trade and investment. The negotiation processes for these agreements involve complex institutional mechanisms; for instance, the European Union requires trade pacts to be drafted by the European Commission , approved by the European Council , and finally ratified by the European Parliament . Historically, India has exercised caution in signing broad trade pacts to protect domestic industries. However, the current momentum indicates…