India-EU FTA to Support Agri, Seafood Exports and Auto Manufacturing, Says Commerce Secretary

India’s proposed trade agreement with the European Union is expected to improve export access for multiple sectors while preserving protections for sensitive industries such as dairy and poultry, according to senior officials involved in the negotiations. 

India Targets Wider Export Access Across Key Sectors 

Speaking during an event organised by Federation of Indian Chambers of Commerce & Industry, Darpan Jain said the proposed agreement is being structured to deliver substantial trade advantages for India without exposing vulnerable domestic segments to excessive competition. 

He indicated that Indian exporters from sectors such as agriculture and seafood could benefit from sizeable tariff reductions once the agreement is implemented, improving access to the European market. 

At the same time, India has retained safeguards around sectors considered sensitive from a domestic perspective, particularly dairy and poultry. 

Auto Negotiations Shift Towards Manufacturing Opportunity 

The automobile segment had remained among the most difficult parts of the negotiations because of India’s long-standing high import duties on vehicles. 

Instead of pursuing unrestricted access, negotiators worked on quota-based arrangements to bridge differences between both sides. 

According to Jain, the final framework could encourage greater automotive manufacturing activity within India while helping Indian companies become part of larger European production and supply networks. 

India Addresses Concerns Around EU Carbon Rules 

India also made progress on discussions linked to the European Union’s Carbon Border Adjustment Mechanism, commonly known as CBAM, which impacts imports such as steel and aluminium through carbon-linked levies. 

Jain said India secured Most-Favoured Nation status in matters relating to CBAM under the negotiated structure. 

Both sides have additionally agreed to establish a formal dialogue mechanism aimed at addressing future regulatory disagreements connected to carbon-related trade measures. 

UK And Chile Agreements Also Progressing 

Alongside the EU negotiations, the Commerce Ministry shared updates regarding India’s other trade discussions. 

Jain said implementation of the India-UK free trade agreement is expected shortly, while negotiations for the India-Chile Comprehensive Economic Cooperation Agreement have already entered an advanced stage. 

Read More: EU Includes India in Revised List for Seafood Exports from September 2026! 

Conclusion 

India’s ongoing trade negotiations reflect a broader strategy of expanding overseas market access for exporters while continuing to shield strategically sensitive domestic industries from external pressure. 

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