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International Relations

India's free trade agreements

India's trade pacts with the UAE, Australia, EFTA, UK, Oman and New Zealand, and the EU deal in the pipeline; exams ask about their names (CEPA, ECTA, TEPA, CETA) and the dates they came into force.

Pareto Academy · updated 26 October 2026

At a glance

A free trade agreement (FTA) cuts or removes tariffs between partners and often covers services, investment and rules on standards. After leaving the RCEP talks in 2019, India signed a new wave of bilateral deals from 2021 onwards, each with its own name. The Ministry of Commerce and Industry negotiates them; Piyush Goyal is the Commerce and Industry Minister.

Key facts

  • Negotiating ministry: Ministry of Commerce and Industry (Department of Commerce)
  • Commerce and Industry Minister: Piyush Goyal
  • India–UAE CEPA: in force 1 May 2022
  • India–Australia ECTA: in force 29 December 2022
  • India–EFTA TEPA: in force 1 October 2025
  • India–UK CETA: signed July 2025; in force 15 July 2026
  • India–Oman CEPA: signed 18 December 2025; in force 1 June 2026
  • India–New Zealand FTA: signed 27 April 2026; in force 20 October 2026
  • India–EU FTA: negotiations concluded 27 January 2026; signing expected later
  • RCEP: India stayed out (November 2019)

How it works

Partner Name In force Note
Mauritius CECPA 1 April 2021 First deal with an African country
UAE CEPA 1 May 2022 India's first deal in the new wave
Australia ECTA 29 Dec 2022 Interim "early harvest" pact
EFTA TEPA 1 Oct 2025 Includes a US$100 bn investment goal over 15 years
UK CETA 15 July 2026 Comes with a social security (double contribution) convention
Oman CEPA 1 June 2026 Second Gulf CEPA
New Zealand FTA 20 Oct 2026 NZ removes tariffs on all Indian goods

Older agreements include the India–Sri Lanka FTA (2000), SAFTA (2006), India–ASEAN goods agreement (2010), and CEPAs with South Korea (2010) and Japan (2011).

Name key: CEPA = Comprehensive Economic Partnership Agreement; ECTA = Economic Cooperation and Trade Agreement; TEPA = Trade and Economic Partnership Agreement; CETA = Comprehensive Economic and Trade Agreement.

EFTA members: Switzerland, Norway, Iceland and Liechtenstein.

JETCO: the India–UK Joint Economic and Trade Committee is the ministerial forum that reviews trade between the two countries, including use of the CETA.

Recent developments

  • 20 Oct 2026: The India–New Zealand FTA came into force (on Vijayadashami). New Zealand eliminates tariffs on all Indian goods; India cuts or removes tariffs on about 95% of imports from New Zealand while protecting dairy. New Zealand offered to facilitate US$20 bn of investment over 15 years.
  • 12 Oct 2026: The 16th India–UK JETCO met in New Delhi, co-chaired by Commerce Minister Piyush Goyal and the UK Business and Trade Secretary, and reviewed early trade under the CETA; the 17th will be in the UK in 2027.
  • 15 Jul 2026: The India–UK CETA came into force.

Exam traps

  • The UK pact is a CETA; the EFTA pact is a TEPA; the Australia pact is an ECTA; UAE and Oman are CEPAs.
  • EFTA is not the EU; it has four members (Switzerland, Norway, Iceland, Liechtenstein).
  • The India–EU FTA was concluded in January 2026 but was not yet in force as of October 2026.
  • India is not a member of RCEP.

Quick check

  • Q: When did the India–New Zealand FTA come into force? A: 20 October 2026.
  • Q: What is India's trade agreement with the UK called? A: The Comprehensive Economic and Trade Agreement (CETA).
  • Q: Which four countries make up EFTA? A: Switzerland, Norway, Iceland and Liechtenstein.

Further reading

Sources

In the news

Every time this topic has appeared in our current affairs, newest first:

  1. Week of 15–21 October 2026India–New Zealand Free Trade Agreement comes into force on 20 October
  2. Week of 8–14 October 202616th India–UK JETCO held in New Delhi