Indian Economy News

India’s achievements in Free Trade Agreements for the year 2025-26

Over the past decade, India has strengthened its position in global commerce through a new generation of Free Trade Agreements (FTAs) aimed at expanding market access and deepening economic partnerships. According to the Government of India, the country now has nine FTAs covering 38 countries, reflecting its growing integration with global markets. The expansion began with the India–Mauritius trade agreement in 2021, followed by the India–UAE Comprehensive Economic Partnership Agreement (CEPA) in May 2022 and the implementation of the India–Australia Economic Cooperation and Trade Agreement (ECTA) in December 2022. India further signed the India–European Free Trade Association (EFTA) Trade and Economic Partnership Agreement (TEPA) on March 10, 2024, which entered into force on October 1, 2025. Subsequently, India signed the India–UK Comprehensive Economic and Trade Agreement (CETA) in July 2025 and the India–Oman CEPA in December 2025. India also announced an FTA with New Zealand on December 22, 2025, followed by the India–European Union (EU) FTA on January 27, 2026. In addition, India and the United States released a framework for an interim trade agreement on February 7, 2026, further strengthening bilateral trade engagement.
These FTAs are expected to create new opportunities across multiple sectors while strengthening India’s global economic partnerships. Farmers are likely to benefit from improved access to developed markets, while entrepreneurs and women-led MSMEs can expand exports in sectors such as garments, leather goods and handicrafts. The agreements also support greater mobility for Indian professionals, including students, IT professionals, chefs and yoga instructors, through provisions such as post-study work visas, mobility pathways and social security relief. In addition, sectors such as digital services, organic products and traditional wellness systems under AYUSH are expected to gain greater global visibility. The government has emphasised that these agreements have been negotiated with a balanced approach that protects the interests of sensitive sectors such as dairy, agriculture and domestic industry while enhancing global competitiveness. 

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.