A practical look at India's four largest trade agreements, and what each one opens up for investors, businesses, and professionals.

India has spent the last two decades steadily building a network of trade agreements with some of the world's largest economies. Four of these stand out for their scale and recency: the Comprehensive Economic Partnership Agreement (CEPA) with the UAE, the Trade and Economic Partnership Agreement (TEPA) with the European Free Trade Association (EFTA, comprising Switzerland, Norway, Iceland, and Liechtenstein, a bloc distinct from the European Union), the Comprehensive Economic and Trade Agreement (CETA) with the UK, and the Free Trade Agreement (FTA) concluded with the European Union. Together, they mark one of the most consequential shifts in India's external trade posture in recent years. 

These agreements change tariff schedules, rules of origin, and the terms of market entry across four of India's largest trading relationships. They also reflect the country's broader push toward its stated goal of becoming a developed economy, or "Viksit Bharat," by 2047. This India’s FTA guide lays out what each agreement covers, where it stands today, and what it means in practice.

Key Takeaways:

• Indian exporters already have preferential or duty-free access to three of the world's largest consumer markets, the UAE, EFTA countries, and the UK. Comparable access to the EU will follow once the FTA is ratified.
• The EFTA TEPA is the only one of the four agreements built around a binding capital commitment, giving investors a government-backed signal of sustained investment inflow into India over the next decade and a half.
• The UK CETA extends benefits beyond goods to people, easing visa and social security friction for Indian professionals and specialists working temporarily in the UK.
• Sectors that have historically faced steep tariff disadvantages in developed markets, such as textiles, gems and jewellery, and pharmaceuticals, stand to see the most immediate cost relief.
• Taken together, the four agreements strengthen India's FTA network and open a more diversified set of entry points for international investors.

India's FTA Landscape at a Glance

Before looking at each agreement individually, it helps to see where they currently stand.

India-UAE CEPA: India's First Comprehensive Trade Agreement

Signed in February 2022 and in force since May 1, 2022, the India-UAE CEPA was India's first modern comprehensive trade agreement and remains its most tested one. India secured preferential access on over 97% of tariff lines, covering 99% of its exports to the UAE by value, with gems and jewellery, textiles, and pharmaceuticals among the earliest beneficiaries ^[1].

Bilateral trade has grown steadily since the agreement took effect, crossing USD 100 billion in FY 2025-26, up from USD 43.3 billion in FY 2020-21 ^[5]. Non-oil trade has also expanded, and both governments continue to work toward a target of USD 100 billion in non-oil trade by 2030.

The agreement also opened UAE government procurement to Indian-linked businesses for the first time. Implementation continues to be refined through regular joint committee meetings between the two governments, most recently in late 2025 ^[6].

India-EFTA TEPA: A Binding Investment Commitment

The India-EFTA TEPA differs from India's other trade agreements in one important respect: EFTA, comprising Switzerland, Norway, Iceland, and Liechtenstein, did not just agree to expand trade access. The agreement carries a binding commitment of USD 100 billion in investment into India over 15 years, alongside the creation of one million direct jobs ^[2]. No India’s FTA had previously included a commitment of this kind.

Signed in March 2024 after roughly sixteen years of on-and-off negotiation, TEPA entered into force on 1 October 2025 ^[7]. The full text of the agreement, including tariff schedules, rules of origin, and services commitments, is available on the Ministry of Commerce's website for those who want to review the details directly ^[8].

India-UK CETA: Trade Access and Professional Mobility

The India-UK FTA entered into force on 15 July 2026, alongside a companion agreement on social security, the Double Contribution Convention ^[3]. It delivers duty-free access on 99% of India's exports to the UK by value.

What sets this agreement apart is its treatment of mobility. It provides a five-year exemption from paying UK social security contributions while on temporary assignment (extended from the original three years), streamlined visa categories for professionals, and a dedicated annual quota of 1,800 slots for Indian chefs, yoga instructors, and classical musicians to work in the UK ^[9]. Trade agreements are typically framed around tariff schedules; this one is also, in effect, a mobility framework.

India-EU FTA: Concluded, Not Yet in Force

The India-EU FTA is the most recent of the four, and the one still generating the most attention. On 27 January 2026, Prime Minister Modi and European Commission President Ursula von der Leyen jointly announced the conclusion of negotiations for an agreement nearly two decades in the making, between the world's 4th and 2nd largest economies, covering close to two billion people ^[10].

Under the agreement, India has secured preferential access on 97% of tariff lines, covering 99.5% of its export value to the EU ^[4]. Textiles and apparel, a sector that employs around 45 million people directly in India across 342 exporting districts, is expected to benefit significantly, correcting a longstanding tariff disadvantage India has faced against competitors such as Bangladesh and Pakistan in the EU market ^[11].

One distinction is worth noting for anyone planning around this agreement: conclusion of negotiations is not the same as entry into force. The agreement still requires legal review, formal signature, and ratification before its provisions become usable, a process that is likely to extend well into 2026 and possibly beyond.

Why This Matters

These four agreements reflect a deliberate shift in in India's FTA strategy and broader economic engagement with the world. The Ministry of Commerce and Industry has described the intent behind these deals as opening access "for farmers whose products now have access to the developed world... for entrepreneurs, women-led MSMEs... for talent, young Indians, our students, IT professionals" building careers with clearer pathways abroad ^[12].

For investors, the significance goes beyond trade flows. Treaty-backed access to four major markets gives foreign investors a more predictable basis for locating manufacturing in India, rather than negotiating market entry deal by deal. The EFTA TEPA's binding USD 100 billion commitment and the UAE CEPA's procurement access add structural incentives beyond tariffs alone.

Conclusion

India's FTAs with the UAE, EFTA, the UK, and the EU are not four isolated developments. They form a single, connected story about a country actively expanding its economic relationships with developed markets at a time when global trade is under pressure elsewhere. Two of these agreements, CEPA and TEPA, are already mature and delivering measurable results. CETA has just come into force and will take time to show its full effect. The EU FTA remains the one to watch, concluded but not yet operational, with significant implications once it is. Understanding where each agreement stands today is the first step to making use of what it offers.