The Central Government on Tuesday (February 3, 2026) gave information in the Lok Sabha, the lower house of the Parliament, about the objective of India’s new bilateral and multilateral Free Trade Agreement (FTA) and its benefits. The government said in the Lok Sabha that India is continuously working on new bilateral and multilateral Free Trade Agreements (FTA).
The government says that the objective of these agreements is to increase India’s exports, to provide better access to Indian products to foreign markets, to open opportunities in the services sector and to promote investment. Emphasis has also been laid on creating new opportunities for industries, farmers and employment through these FTAs.
With which countries India completed free trade agreement
The government also informed that in the current financial year, India has completed free trade agreements with the United Kingdom (UK), Oman, New Zealand and the European Union (EU). Additionally, important trade agreements have also been implemented in recent years with the United Arab Emirates (UAE), Australia, Mauritius and the European Free Trade Association (EFTA). Through these agreements, Indian exporters have got duty exemption and primary market access in many countries.
Which sectors does the government give priority to?
The government told Parliament that all FTAs ​​are done keeping in mind India’s manufacturing and export priorities. For this, advice is taken from the industry and related sectors at every stage of negotiation. The government also said that sectors like pharmaceuticals, electronics, textiles, marine products and engineering goods are reviewed separately, so that these sectors can get the direct benefits of FTA. Apart from this, it was also made clear that while making Free Trade Agreements (FTA), the security of sensitive sectors like agriculture, dairy and MSME is given priority.
For this, sensitive and negative lists are kept in the agreements, on which limited or no tariff exemption is given. Additionally, there is also a provision to take anti-dumping and safeguard measures if a sudden increase in imports causes injury to the domestic industry.
Work is being done to extend the benefits of FTA to the grassroots level.
The government also said that continuous work is being done to make exporters aware so that the benefits of FTA reach the grassroots level. Under this, outreach programs are organized in collaboration with industry organizations, Export Promotion Council, educational institutions and Indian missions. In these programs, information related to tariff exemptions, rules of origin, certification process and compliance is provided.
New FTA will attract foreign investment- Government
The government claims that the new free trade agreements will strengthen India’s global trade position, attract foreign investment and help connect Indian companies to international supply chains. It was told in Parliament that under agreements like EFTA, India has got priority access to almost all export products and foreign investment is expected on a large scale in the long run.
Also read: ‘Rahul Gandhi had committed a sin by doing FTA with China, PM Modi saved him’, Piyush Goyal lashed out at Congress while speaking on trade deal.
