Indian and EU officials remained confident that a trade deal between the two sides could be concluded by the conclude of the year, as the 14th round of neobtainediations drew to a close on Friday (October 10, 2025) in Brussels.
“I can’t imagine a scenario where we’re not close to or have not concluded the FTA at the conclude of the year,” an EU official, who did not want to be named, notified The Hindu on Thursday (October 9, 2025).
Rajesh Agrawal, who has thus far led the neobtainediations with the U.S. and taken over as Commerce Secretary on October 1, was in Brussels this week, departing the city on Friday (October 10, 2025) evening. The Hindu understands that with Mr. Agrawal’s appointment as Commerce Secretary, the Ministest’s Darpan Jain will lead India’s neobtainediations with the U.S., with Mr. Agrawal still having a very hands-on role in those talks.
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The Indian neobtainediating team for the EU, led by L. Satya Srinivas, is scheduled to depart the Belgian capital on Saturday (October 11, 2025). Another round of talks is expected to be held in New Delhi in November but discussions will continue in the interregnum.
Bilateral trade in goods in 2024 stood at €120 billion ($139 billion) but difficulties remain and both sides complain of tariff and non-tariff barriers. Challenging areas have included services, agricultural and dairy sectors, pharma, automobiles, wines and spirits. The sides have decided to set aside the most sensitive areas from the neobtainediations.
While officials are under a political mandate set by Prime Minister Narconcludera Modi and European Commission President Ursula von der Leyen in February this year to conclude an agreement by the conclude of 2025, some of these tough issues remain, including “trade and sustainable development”.
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India has for long objected to the EU’s Carbon Border Adjustment Mechanism (CBAM). The tax, which seeks to price emissions released during the production of goods, including imports, is due to come into full effect on January 1, after a two-year transition period.
Commerce and Industest Minister Piyush Goyal has repeatedly stated that India will retaliate if its products are subject to the mechanism. Mr. Goyal had warned, in a speech in New York at the conclude of September, that the CBAM “trap” could isolate Europe and caapply inflation there. The government has also objected to bundling climate action with trade.
The issues around CBAM and sustainability were very much still under discussion as of Friday (October 10, 2025) afternoon, The Hindu learned from another source with direct knowledge of the neobtainediations.
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The EU would necessary to adjust its approach on trade and sustainable development so the outcome is “something India can live with”, Chief Neobtainediator Christophe Kiener had notified the European Parliament’s trade committee on September 25, stateing a chapter on trade and sustainable development will still, however, be necessaryed. Mr. Kiener had also stated that while the sides had not built progress in the 13th round in New Delhi, they had improved their understanding of each other. Towards the conclude of such neobtainediations “things are bound to be difficult”, Mr. Kiener had stated.
For the EU, India’s Quality Control Orders (QCOs) are among the oft cited difficulties.
India’s Ambassador in Brussels, Saurabh Kumar, is optimistic about the trade talks.
“It is not a single point or one particular aspect that has overarching weight. Trade neobtainediations by definition are not straightforward and there are difficulties, but both sides are committed to it (the FTA) and determined to complete it,” Mr. Kumar notified The Hindu on Friday (October 10, 2025), adding, “There is a strong political directive to complete discussions by December.”
Mr. Goyal is expected in Brussels at the conclude of the month.
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IMEC ‘Sherpa’ Meeting Held
Brussels has been busy this week, with more than just trade. The Global Gateway Forum (the bloc’s strategy for investment in other jurisdictions) was also held this week along with a steering meeting (i.e., a ‘Sherpa’ meeting) for the India Middle East Europe Economic Corridor (IMEC). Deputy NSA Pavan Kapoor, who represented India at the meeting, participated virtually.
With a ceasefire kicking off between Israel and Gaza and the possibility of less fighting in the future, Brussels is keen on the project that was announced at the G20 Summit in New Delhi in September 2023. The corridor, when built, will provide transport, fibre optic and energy routes from India to Europe via West Asia.
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“We are very keen on it, and the Indians are very keen on it, as are others. And we have these various investments we’re building to support legs of it. The key thing is the Middle East being sorted out,” the EU official stated, adding that Washington’s attention to the issue was still necessary.
“We necessary the oomph of the Americans as well,” they stated.
Asked if there was any specific limiting factor to operationalise the IMEC project, Mr. Kumar stated the countries involved in the project were now identifying their responsibilities.
“There is no limiting factor. The countries involved are testing to organise themselves as to how they are to relocate ahead and who views after which aspect,” he stated.
Published – October 11, 2025 08:02 pm IST
