ADVERTISEMENTIf finalised and ratified by the European Parliament, a process that could take at least a year, the trade pact would boost Indian exports such as textiles and jewellery, the official said. In August, President Donald Trump doubled tariffs on Indian imports to as much as 50%, among the highest in the world. "An India–EU FTA would cut tariffs on textiles, garments and leather, letting Indian exporters compete more evenly with Bangladesh and Vietnam," he added. The EU imports nearly $125 billion of textiles annually, where India holds a 5–6% share versus China's 30%, highlighting the potential gains from an FTA amid rising U.S. tariffs. Some sensitive agricultural items have been excluded from negotiations, an Indian trade ministry official earlier said.

Source: The Telegraph January 23, 2026 08:32 UTC