India is in the final stages of concluding a long-pending trade agreement with the European Union, with negotiations likely to wrap up by January 26, according to Trade Secretary Rajesh Agrawal, as reported by Reuters.

Speaking on Thursday, Agrawal said talks between the two sides are “very close” to completion. Officials are also examining whether the agreement can be formally finalised ahead of high-level meetings between Indian and EU leaders in New Delhi later this month.

Senior European Union leaders are scheduled to attend India’s Republic Day celebrations on January 26, followed by the India–EU Summit on January 27, where the proposed trade deal is expected to feature prominently on the agenda.

If finalised, the agreement is expected to significantly strengthen economic ties between India and the EU, covering key areas such as trade, investment and market access. Both sides have been working to conclude negotiations that have stretched over several years, with the aim of boosting bilateral trade and deepening strategic cooperation.

Once signed, the pact would grant India access to a market representing nearly one-fourth of the global population.

Agriculture has remained a sensitive area for India, with around 44% of the country’s workforce dependent on the sector. Acknowledging these concerns, the EU has agreed to keep products such as dairy and sugar outside the scope of the agreement.

The European Union is currently India’s largest trading partner in goods, with bilateral trade exceeding $136 billion in 2024–25. When concluded, the agreement would become India’s 19th trade pact and mark a significant milestone in the country’s broader trade strategy.