India–EU Free Trade Agreement Enters Final Legal Phase Ahead of Signing

In a significant stride towards strengthening global economic ties, India and the European Union are in the final technical stages of their proposed Free Trade Agreement, with the legal scrubbing of the text expected to be completed within fifteen to twenty days.

The Minister of Commerce and Industry, Piyush Goyal, confirmed this progress, highlighting the shared commitment of both partners to expedite the legal review. This critical development paves the way for the formal signing of the treaty by the end of this year, with concerted efforts aimed at operationalising the historic accord by the first quarter of 2027.

Accelerating Technical Reviews and High-Level Engagement

The legal scrubbing process represents the final technical stage before the formal signing of the trade treaty. This procedural review involves a meticulous line-by-line verification of the negotiated text by trade lawyers from both sides to ensure absolute legal consistency, eliminate ambiguities, and align the draft with domestic frameworks.

Following productive discussions with the European Union Trade Commissioner, Maros Sefcovic, Minister Goyal announced that both jurisdictions are working to complete this review within the stipulated timeframe. To sustain this momentum, the Minister is scheduled to travel to Brussels on 14 and 15 July 2026 for high-level meetings. Leading a business delegation, he will also visit Spain and Finland to market Indian products, ensuring domestic enterprises are future-ready to leverage the impending treaty.

Unlocking Market Access for Key Industrial Sectors

Once operational, the agreement will grant Indian businesses direct access to the lucrative markets of the twenty-seven member states of the European Union. Addressing the Council for Leather Exports National Export Excellence Awards in New Delhi, the Minister emphasised the transformative opportunities awaiting domestic sectors. Currently, India's leather and footwear exports stand between US$4 billion and US$4.5 billion.

With the enabling conditions created by new trade pacts, the industry has been urged to set an ambitious export target of US$15 billion over the next five to six years. To achieve this, the sector is encouraged to focus on brand building, design, packaging, and diversifying its destination base, given that seventy-seven per cent of its exports are currently concentrated in just fifteen countries.

Expanding a Diverse Network of Strategic Partnerships

The impending European Union agreement forms part of a broader trade strategy to deepen international partnerships. Notably, the bilateral trade agreement with the United Kingdom is scheduled to come into force on 15 July 2026, marking another milestone for bilateral commerce. Furthermore, productive dialogues are underway with Canada, with expectations of concluding a pact by the end of the year.

In the Gulf Cooperation Council region, where agreements already exist with Oman and the United Arab Emirates, ongoing negotiations with the six-country bloc could expand the partner network further. Active discussions are also being pursued with Mexico, Brazil, and associated nations to steadily increase the number of countries covered under trade arrangements, fostering a more resilient global trading architecture.