Global Trade Push: India Aggressively Expands FTA Network Targeting US, EU, Canada in Major Economic Offensive

Global Trade Push: India Aggressively Expands FTA Network Targeting US, EU, Canada in Major Economic Offensive​

India is intensifying its global trade diplomacy, rolling out an ambitious expansion of free trade agreement (FTA) negotiations. The government announced that it is significantly expanding its trade pact network to diversify exports and secure improved market access for domestic industry. This strategic push aims to strengthen India's standing in the international trade arena.

Minister of State for Commerce and Industry Jitin Prasada confirmed these efforts in a written reply to the Lok Sabha, detailing negotiations with numerous major economies and regional blocs. The core objective is securing preferential market access while effectively tackling complex non-tariff barriers that hinder Indian exports.

Strategic Trade Negotiations with Global Giants​

The Ministry of Commerce highlighted critical advancements in bilateral trade agreements. India and the United States reached a framework for an Interim Agreement regarding reciprocal and mutually beneficial trade on February 7, 2026. Furthermore, negotiations are actively progressing toward the completion of the FTA with the European Union, which concluded on January 27, 2026.

The government is currently engaged in high-level discussions across several key regions. These include the Eurasian Economic Union, Israel, Canada, Peru, Chile, and Maldives. This multifaceted approach demonstrates a comprehensive effort to fortify India's global market presence.

Upgrading Key Existing Trade Relationships​

Beyond new pact formations, focus remains on modernizing existing agreements to maximize benefits for domestic businesses. Negotiations are underway to upgrade several crucial partnerships. These include the Comprehensive Economic Partnership Agreement (CEPA) with South Korea and the Economy and Technology Cooperation Agreement (ETCA) with Sri Lanka.

Additionally, the government is working on upgrading the Comprehensive Economic Cooperation Agreement (CECA) with Australia. The review of the ASEAN-India Trade in Goods Agreement (AITIGA) is also actively in progress, ensuring continued growth in regional trade corridors.

Domestic Support and Export Mission Focus​

The agreements are strategically designed not only for bilateral boost but also to support vulnerable and labor-intensive sectors. These include industries such as textiles, apparel, and leather goods. The goal of these pacts is to significantly attract foreign investment while providing greater market access for workers and farmers alike.

To complement the international negotiations, the government has launched initiatives focusing on export promotion. A Rs 25,060 crore Export Promotion Mission (EPM) has been established for the period spanning 2025-26 to 2030-31. This mission aims directly at bolstering exporters through concentrated support mechanisms.

Addressing Non-Tariff Barriers and E-commerce Reform​

A major component of the current trade strategy involves tackling non-tariff barriers that impact Indian goods. The Ministry is working through bilateral, regional, and multilateral platforms to address issues like technical standards and sanitary measures.

The focus extends beyond traditional exports into the digital sphere. Initiatives are underway to promote cross-border e-commerce exports. These include establishing pilot E-Commerce Export Hubs and implementing export procedure reforms specifically designed to support MSMEs, startups, artisans, and small exporters.