Free Trade Pact

India's utilisation of free trade agreement benefits remains low at just 20-30 per cent of eligible exports, compared with 60-70 per cent by the FTA partners, due to high compliance costs and already low tariffs in partner countries, think tank GTRI said on Tuesday. It also said that Free Trade Agreements (FTAs) have made the inverted duty structure issue harder to fix because many finished goods now enter India at low or zero duty from partners such as ASEAN, Japan, South Korea, the UAE and Australia. As a result, Indian manufacturers often pay high duties on imported inputs, especially those sourced from non-FTA countries, while competing against finished products imported duty-free under FTAs, the Global Trade Research Initiative (GTRI) said. Citing an example, it said steel and aluminium attract MFN (duty applicable for all countries) duties of 7.5-10 per cent, but machinery, industrial equipment and engineering products made from these materials can enter India duty-free under

Commerce Minister Piyush Goyal said nine recently signed free trade agreements are expected to become operational within 10 months, with several more trade pacts in the pipeline

India should reassess the effectiveness of its existing Free Trade Agreements (FTAs), modernise its investment screening architecture, and adopt a more coordinated trade and industrial policy framework as geopolitical fragmentation reshapes global commerce, a report said on Thursday. The report said that India's economic strategy must move beyond reactive policymaking and focus on proactive integration through calibrated partnerships, stronger institutional coordination and clearer market access objectives. Among its key recommendations, the report calls on India to audit existing FTAs, assess whether they have met intended objectives, and align future trade agreements more closely with industrial and export priorities. It also recommended that India explore high-quality market arrangements and utilise multilateral institutions and bilateral investment treaties to secure greater predictability for businesses and investors. The report titled 'Resilience in a Fragmenting World: India

Peru, the world's third-largest producer of copper, is also negotiating a chapter on critical minerals with India, Paulinich said

The reduction in tariffs is expected to significantly level the playing field for Kiwi exporters on the global stage

India and New Zealand on Monday will sign a free trade agreement (FTA) to boost two-way commerce in goods and services and promote investments. The pact will come into force on actually decided date agreed by both sides. Here are a few questions and answers to understand the main strategic gain of this deal: FTA: ----- An economic arrangement between two or more countries where they agree either to end or significantly reduce customs duties on the maximum number of goods traded between them, besides cutting down barriers which can hinder or promote two-way commerce and investments. INDIA-NEW ZEALAND FTA BRIEF: ----------------------------------- Negotiations were first launched in 2010, stalled in 2015 after nine rounds, and were revived in March 2025. March 16, 2025: Negotiations resumed afresh December 22, 2025: Announced conclusion of talks April 27, 2026: FTA set to be signed The agreement covers 20 chapters, including trade in goods, rules of origin, services, customs

The free trade agreement (FTA) with New Zealand, scheduled to be signed on April 27, will provide huge opportunities for domestic firms, including leather exporters from the city of the Taj Mahal, Commerce and Industry Piyush Goyal said on Sunday. Goyal is here with the visiting New Zealand's Trade and Investment Minister Todd McClay. The ministers held discussions with businesses from different sectors, including leather and sports goods. The FTA aims to double bilateral trade and facilitate duty-free access to the island nation's markets for Indian companies, as well as bring in USD 20 billion of investment over the next 15 years. "Goods exported from India to New Zealand will go without any tax, creating significant opportunities, including for Agra's leather industry and other sectors," Goyal said, adding that the pact would hep promote two-way commerce, which stood around USD 2.4 billion. Agra is one of India's largest leather and footwear clusters, playing a key role in both

India has inked terms of reference with the Philippines and the Maldives to start negotiations for free trade agreements (FTAs), the Commerce Ministry said on Monday. The terms of reference (ToR) outline the scope and modalities of a proposed trade pact. With the Philippines, a Southeast Asian nation, negotiations will begin for a preferential trade agreement (PTA), while with the Maldives, it will be for a free trade agreement (FTA), the ministry said. In a PTA, two trading partners either significantly reduce or eliminate import duties on a specific number of goods traded between them. On the other hand in an FTA, two trading nations either significantly reduce or eliminate import duties on maximum number of goods traded between them, besides easing norms to promote trade in services and investments. India's exports to the Philippines rose 3.11 per cent to USD 2.16 billion in 2024-25, while imports dipped 17.8 per cent to USD 1.17 billion. The Philippines is a part of the ASEAN

The US-Bangladesh reciprocal trade pact is unlikely to materially affect India's auto and auto component exports, analysts say, despite tariff concessions and wider market access for Dhaka

India has finalised eight free trade agreements (FTAs), covering 37 developed countries in the last few years, Commerce and Industry Minister Piyush Goyal has said. He also said that India is in active dialogue for similar pacts with several countries, including Chile, Peru and Canada. Trade negotiations with Chile, he said, are almost at conclusion, where India has interests in critical minerals. "We've done eight free trade agreements covering 37 developed countries in the last few years under the Modi-government," the minister told PTI. Since 2014, India has finalised eight trade pacts -- Mauritius (April 2021 implemented), Australia (December 2022 implemented), UAE (May 2022 implemented), Oman (signed in December 2025), UK (signed in July 2025), EFTA (implemented in October 2025 - Switzerland, Iceland, Liechtenstein, Norway), New Zealand (talks concluded in December 2025), and the European Union (27-nation bloc). Goyal added that talks for a trade pact have started with the ..

The India-EU free trade agreement is expected to benefit a wide range of domestic sectors and deepen India's trade engagement with one of the world's largest economic blocs, experts said. Negotiations for the agreement have been concluded and expected to come into force later this year. The experts said that the agreement announced on January 27 is set to significantly transform India's automotive sector by attracting foreign direct investment into its auto component industry and fostering deeper integration into global value chains. "The IndiaEU trade pact marks a significant step forward in strengthening market access and trade competitiveness," Sanjay Budhia, Chairman of CII's National Committee on Exports and Managing Director of Patton International Ltd, said. He added that the deal is expected to provide preferential access across a host of traded goods, creating meaningful opportunities for domestic businesses. "The agreement is likely to benefit multiple sectors and deepen

Nobel laureate economist Abhijit Banerjee said the India-EU free trade agreement was "a strategic alignment", sending a signal to Washington, amid the high tariffs imposed by the Donald Trump administration, that "we don't need the US as much as America thinks we do". He, however, cautioned that the much-touted pact, described as the "mother of all deals", would not automatically translate into broad-based gains unless India dramatically improves efficiency and logistics. In an interview with PTI, Banerjee said India was yet to fully understand the nature of American resistance under President Donald Trump's leadership, noting that the US had shown "limited interest" in bargaining with India despite repeated US claims of imminent agreements during the period of heightened trade tensions. "It is certainly a strategic alignment. It sends a signal to the US- from Europe and from India - that we don't need the US as much as the US thinks we do. That can be useful if the idea is to bring

A high-level committee should be set up to review India's trade and Customs regulations, and undertake economic impact analyses of trade agreements

India plans a sharp cut in car import tariffs for EU automakers, signalling its biggest market opening yet as New Delhi and Brussels near a landmark free trade pact

Everything is going forward perfectly. We do not expect any obstacle," Spain's Foreign Minister Albares said after bilateral meetings with Jaishankar

India and the European Union (EU) on Friday held talks in Brussels on the proposed Free Trade Agreement (FTA) and reaffirmed their commitment to a rules-based trading framework and a modern economic partnership that safeguards the interests of farmers and MSMEs. Commerce and Industry Minister Piyush Goyal is on a two-day official visit to the EU headquarters for the talks. He has held high-level talks with EU Trade and Economic Security Commissioner Maros Sefcovic for securing a mutually beneficial FTA. "During this dialogue, we deliberated across key areas of the proposed agreement. We reaffirmed our commitment to a rules-based trading framework and a modern economic partnership that safeguards the interests of farmers and MSMEs while integrating Indian industries into global supply chains," Goyal said in a social media post. The ministerial engagements follow a week of intensive deliberations in Brussels, building upon the groundwork laid during high-level discussions held earlie

India spent 2025 rewriting its foreign policy playbook through trade deals, tariff battles and supply chain partnerships, signalling that market access now drives its global engagement

Legally binding commitments on professional services such as chartered accountants, doctors and architects under various Free Trade Agreements (FTAs) signed by India will help open up overseas opportunities for these professionals, Commerce Secretary Rajesh Agrawal has said. He has stated that India's demographic dividend offers immense potential to meet the rising global demand for professional services. To tap into this potential, Agrawal said, it is critical to adopt global best practices and equip professionals with upgraded skills aligned with evolving global market needs and technological developments. He also encouraged professional bodies like the Institute of Chartered Accountants of India (ICAI) to organise and participate in international conferences to enable knowledge sharing and provide platforms for enhanced collaboration. The secretary said this while addressing a brainstorming session on 'Expanding Global Horizons: Opportunities for Indian Professionals' on Decembe

India is at an advanced stage of negotiations for a bilateral trade agreement with the US, Commerce and Industry Minister Piyush Goyal said on Monday. US Deputy Trade Representative Rick Switzer was recently here with his team to take stock of these talks. The two-day talks concluded on December 11. "We are already at an advanced stage in our discussions with the US," Goyal said here while talking to the media about the conclusion of negotiations for the India-New Zealand free trade agreement. He also said that India has so far finalised FTAs with three members of the Five Eyes (FVEY) alliance - Australia, UK and New Zealand. The five countries of the intelligence sharing network are Australia, Canada, New Zealand, the UK, and the US. India is also in the process of resuming talks for a trade agreement with Canada. "We are soon going to launch discussions for the ToR (terms of reference) with Canada also," Goyal said adding "this reflects the growing strategic importance of Indi

Canada and the US will launch formal discussions to the review their free trade agreement in mid-January, the office of Canadian Prime Minister Mark Carney said. The prime minister confirmed to provincial leaders that Dominic LeBlanc, the country's point person for US-Canada trade relations, will meet with US counterparts in mid-January to launch formal discussions," Carney's office said in a statement late Thursday. The United States-Mexico-Canada trade pact, or USMCA, is up for review in 2026. US President Donald Trump negotiated the deal in his first term and included a clause to possibly renegotiate the deal in 2026. Carney met with the leaders of Canada's provinces on Thursday to give them an update on trade talks with the US. Canada is one of the most trade-dependent countries in the world, and more than 75 per cent of Canada's exports go to the country's southern neighbour. But most exports to the US are currently exempted by USMCA. Trump cut off trade talks to reduce tarif