Commerce and industry minister Piyush Goyal has said the proposed free trade agreement between India and the European Union could double India’s exports to Europe within five years, calling it a deal that aims to benefit all sides.
The India–EU free trade agreement (FTA), often referred to as the “mother of all deals”, has completed negotiations and is expected to be implemented later this year. Once in force, 99 per cent of India’s exports to the EU will get duty-free access from the first day.
Goyal said India already enjoys a trade surplus with the EU in both goods and services. In 2024–25, India’s goods exports to the EU stood at USD 76 billion, while services exports were at USD 46 billion.
With the FTA in place, the minister said India’s outbound shipments are expected to see sharp growth. He urged domestic businesses to act quickly and expand their footprint in the European market.
He appealed to companies to “seize” the opportunity, increase investments, expand capacities, and get out of the cosy comfort of the large and huge domestic market.
Explaining the government’s approach to the agreement, Goyal said the deal had been framed to ensure gains for all participants.
“This mother is neither going to be very strict nor lenient. This mother is going to be compassionate, this mother is going to be loving, and this mother is going to make sure that both her children and, for that matter, the 27 nations of Europe and India, all 28 children will enjoy the fruits of this free trade agreement,” he told PTI in an interview.
Goyal also stressed that consumers stand to gain the most from the pact, as lower duties would help bring down prices. Consumers, he said, are the largest stakeholders in the India–EU FTA, and goods need to become cheaper for them.
On trade talks with the United States, which he referred to as the “father of all deals”, the minister said negotiations are progressing well. India, he added, is working to close the agreement with the US “quickly”.
Looking ahead, Goyal expressed confidence about India’s export ambitions, saying the country’s USD 2 trillion exports target could be achieved by 2032.