India made big strides on the trade front during the G7 meeting in France. Prime Minister Narendra Modi, who was attending the key meeting in Évian-les-Bains, met several global leaders and major economic developments are in the pipeline for India.
The timelines of two key trade deals for India were fixed, and US President Donald Trump also shared a big update on the ongoing trade negotiations with India. Follow live updates on the G7 Summit here.
Here’s a look a big breakthroughs for India:
- PM Modi met UK counterpart Keir Starmer and it has been decided that the India-UK Comprehensive Economic and Trade Agreement will be implemented from July 15. This will significantly boost bilateral trade and investment between the two countries.
- India and Canada issued a joint statement following a meeting between Modi and Canadian PM Mark Carney. The statement noted the “satisfaction of both leaders with the progress in negotiations towards a Comprehensive Economic Partnership Agreement (CEPA)” and reaffirmed their “shared objective of concluding the negotiations in 2026.”
- The European Union will formally sign its a landmark trade deal with India by the end of this year, European Commission President Ursula von der Leyen said after meeting PM Modi. The deal was struck back in January and aims to boost two‑way trade and reduce reliance on US resources. “Since we have concluded the mother of all trade deals, we have been moving fast to deliver on our commitments. We will sign the Free Trade Agreement by the end of the year.”
- US President Donald Trump met PM Modi for bilateral talks and said that Washington and New Delhi were “very close” to finalising a long-awaited trade agreement. This marks a big turnaround in ties that were strained over the imposition of 50% tariffs on Indian goods last year. The duties were later brought down to 18%.
The trade deal between India and the UK was finalised last year but there was no update on when it would be implemented. As PM Modi announced the date of its implementation, he said the trade deal will unlock numerous opportunities for Indian farmers, workers, startups and innovators. “This agreement will significantly boost our bilateral trade and investment. It will also unlock numerous opportunities for Indian farmers, workers, MSMEs, startups and innovators and contribute meaningfully to the realisation of Viksit Bharat 2047,” he said.
Similarly, the India-EU trade deal was struck in January this year when the European Commission President was visiting India. Signing of the deal by the end of this year could allow it to enter force in 2027. According to a Bloomberg report, the deal could double the EU’s exports to India by eliminating or reducing tariffs in 96.6% of traded goods by value.
