India, Feb. 18 -- After nearly two decades of negotiations, on January 27 India and the EU signed a robust free trade agreement (FTA), allowing for closer trade ties. The India-EU Trade Deal, expected to benefit 2 billion people, will likely be rolled out in early 2027, after approval from the Indian Cabinet, European Parliament and the Council of the European Union.

While the FTA saw intermittent negotiations over the years, the vigour to reach an agreement rose in 2022. Its finalisation now appears to be a hedge against renewed US protectionism. India faces steep US tariffs since mid-2025, with labour-intensive sectors warning of permanent market loss. EU-US trade relations also remain volatile despite a limited framework agreement. Th...