India Eyes Swift Conclusion to Trade Deals with US and EU: FM Sitharaman

Emphasis on Free Trade Agreements Amid Record Export Growth

Finance Minister Nirmala Sitharaman expressed optimism on Tuesday regarding the timely conclusion of Free Trade Agreements (FTAs) with the United States and the European Union, signaling India’s strategic push to enhance global trade ties.

Speaking at Exim Bank’s Trade Conclave in New Delhi, the Finance Minister highlighted ongoing FTA negotiations not just with the US and EU, but also with countries and blocs such as the UAE, Australia, EFTA, and the UK. “Negotiations are really intensely going on and should come to a conclusion sooner,” Sitharaman noted, reaffirming the government’s commitment to securing more trade pacts to strengthen international trade relations.

India’s Export Performance Hits Record High

Highlighting the country’s export success, Sitharaman said India’s total exports surged to a historic $825 billion in FY25. This records 6% year-on-year growth, despite a tough global environment. This marks a significant increase of $466 billion over the 2013–14 level. She pointed out that India outperformed global export growth, which stood at 4%, by clocking a 6.3% growth rate, driven by a strong push into high-value, technology-led products and newer international markets.

“Indian exporters are swimming against the current and succeeding,” she said, crediting their resilience through repeated global disruptions over the past few years from COVID-19 to geopolitical conflicts like the Russia-Ukraine war, the Hamas-related unrest, and the ongoing tariff war.

Five-Fold Government Push to Boost Exports

The Finance Minister also outlined five key initiatives taken by the government to support exporters:

1. Logistics and Transport Infrastructure Upgrade – To improve supply chain efficiency
2. Targeted Support for MSMEs – To help small businesses scale export operations
3. Improved Access to Trade Finance – For working capital and liquidity
4. Cluster-Based Trade Promotion – Supporting localized hubs and export ecosystems
5. Increased Focus on FTAs – To diversify markets and reduce trade barriers

She further added that exports under the PLI (Production Linked Incentive) scheme have exceeded ₹5.31 lakh crore (~$62 billion), with key sectors including electronics, pharma, food processing, telecom, and network products.

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