The Agreement
A comprehensive bilateral trade deal covering goods, services, digital trade, intellectual property, and sustainable development.
Background & History
The journey towards an EU–India Free Trade Agreement began in 2007, when the two sides launched formal negotiations under the banner of a Broad-Based Trade and Investment Agreement (BTIA). The talks were ambitious in scope, aiming to liberalise trade in goods and services, open up investment flows, and establish common standards on intellectual property and sustainable development.
Progress stalled in 2013 as both sides struggled to bridge significant differences on tariff schedules, data protection, and market access for professional services. The negotiations were formally suspended, leaving years of technical work in limbo. However, the geopolitical and economic landscape shifted dramatically over the following decade, with both the EU and India recognising the strategic imperative of deeper economic integration.
Negotiations were relaunched in June 2022, with a renewed political commitment from both sides. The European Commission and India's Ministry of Commerce worked through 16 rounds of intensive talks over four years, addressing the most contentious issues including automobile tariffs, pharmaceutical intellectual property, and the digital trade framework.
The agreement was concluded in principle in February 2026 and formally signed in New Delhi in June 2026. It entered into force on 1 January 2027, following ratification by the European Parliament and the Indian Parliament.
Key Milestones
EU and India formally launch BTIA negotiations in Brussels.
12 rounds of negotiations completed; significant progress on goods tariffs.
Negotiations stall over differences on automobiles, data protection, and services.
EU-India Summit in Brussels relaunches negotiations with renewed political mandate.
Key breakthrough on automobile tariffs and pharmaceutical IP provisions.
Both sides announce conclusion of negotiations; text agreed in full.
FTA formally signed at EU-India Summit in New Delhi.
Agreement enters into force following parliamentary ratification on both sides.
What's Inside
Business Implications