India and EU Collaborate with Sincerity for Balanced Free Trade Agreement: Piyush Goyal
India-EU FTA to open new opportunities for auto component sector in growth, collaboration and innovation
Introduction
New Delhi: Union Minister of Commerce and Industry, Piyush Goyal, on September 12, 2025, at 08:35 PM IST, reiterated India’s and the European Union’s (EU) sincere commitment to finalizing a balanced Free Trade Agreement (FTA). Speaking after the 13th round of negotiations, Goyal emphasized the mutual dedication to enhancing economic ties.
Negotiation Progress
Goyal highlighted that both sides are working diligently, with approximately 60-65% of the FTA chapters finalized. The ongoing talks, concluding today, involved chief negotiators and are set to culminate with a visit from EU Trade Commissioner Maros Sefcovic and Agriculture Commissioner Christophe Hansen. Goyal expressed optimism about substantially concluding the agreement during their visit, underscoring progress on market access, services, and investment.
Strategic Importance
The FTA, in negotiation since 2007, aims to reduce trade barriers, with bilateral trade in goods reaching USD 137.41 billion in 2023-24. Goyal noted that the agreement will foster innovation, competitiveness, and sustainable development, aligning with shared prosperity goals. He praised the leadership of Prime Minister Narendra Modi and EU President Ursula von der Leyen for steering the talks forward.
Challenges and Opportunities
Despite the positive momentum, challenges like non-tariff barriers and regulatory alignment remain. Goyal assured that India is addressing these with a focus on fairness. The deal could boost exports in labor-intensive sectors like textiles and auto components, while the EU seeks greater access to Indian services.
Conclusion
Goyal’s statement reflects a robust India-EU partnership, poised to unlock new opportunities. As negotiations near completion, this FTA could redefine bilateral trade dynamics by 2025’s end, pending final consensus.
