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India, EU trade talks enter crucial phase, aiming to seal deal by year end
Published by Global Banking & Finance Review®
Posted on September 12, 2025
2 min readLast updated: January 21, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on September 12, 2025
2 min readLast updated: January 21, 2026
India and EU are intensifying trade talks to finalize a free trade agreement by year-end, focusing on reducing tariffs and expanding market access.
By Manoj Kumar
NEW DELHI (Reuters) -Trade talks between India and the European Union have entered a crucial phase and negotiators are working intensively to meet a year-end deadline for signing the free trade pact, a top European Union Official said on Tuesday.
The EU is India’s biggest trading partner in goods, with bilateral trade hitting $137.5 billion in the 2023/24 fiscal year, up nearly 90% over the past decade.
"We are now maximising our efforts to finalise negotiations by the end of the year,” Maros Sefcovic, EU trade chief, said at an event, noting they were working on a deal to "unlock investment, reduce barriers, expand market access, and enhance supply chains, to the benefit of both sides."
Negotiations, relaunched in 2022, have gained pace since the re-election of U.S. President Donald Trump. Faced with Trump's tariffs, Brussels has accelerated its push for trade alliances, sealing deals with Mexico and the South American Mercosur countries and stepping up talks with India, Indonesia and the United Arab Emirates.
Echoing Sefcovic's comments, India's Trade Minister Piyush Goyal said negotiators were working hard for a balanced and mutually beneficial deal that would unlock opportunities for both sides in trade, investment, technology transfer, and deeper economic engagement.
Sefcovic is joined in Delhi by European Agriculture Commissioner Christophe Hansen, who is holding decisive negotiations this week to resolve differences over agriculture, dairy and non-tariff barriers.
The EU has sought steep duty cuts on vehicles, medical devices, wine, spirits and dairy products, while India is pressing for greater access for its textiles, pharmaceuticals, steel and petroleum products, officials have said.
The deal had been delayed for many years by New Delhi's reluctance to lower tariffs in some areas. The European Union wants India to lower tariffs of more than 100% on imported cars, whiskey and wine.
(Reporting by Manoj KumarEditing by Alexandra Hudson)
Trade talks between India and the European Union have entered a crucial phase, with negotiators working intensively to meet a year-end deadline for signing the free trade pact.
The EU has sought steep duty cuts on vehicles, medical devices, wine, spirits, and dairy products, while India is pressing for greater access for its textiles, pharmaceuticals, steel, and petroleum products.
The deal had been delayed for many years due to New Delhi's reluctance to lower tariffs in certain areas, particularly on imported cars, whiskey, and wine, where tariffs exceed 100%.
Maros Sefcovic, the EU trade chief, and India's Trade Minister Piyush Goyal are leading the negotiations, with Sefcovic emphasizing the need for a balanced and mutually beneficial deal.
The EU is India's biggest trading partner in goods, with bilateral trade reaching $137.5 billion in the 2023/24 fiscal year, reflecting a nearly 90% increase over the past decade.
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