India and Israel have taken a significant step forward in strengthening their economic partnership by formally agreeing to begin negotiations on a Free Trade Agreement (FTA). Union Commerce Minister Piyush Goyal announced that both countries have already signed the Terms of Reference (ToR), which lays the foundation for structured and comprehensive trade discussions. The next step is to finalize the dates for the first round of talks, which officials say will be confirmed soon.
The proposed FTA is expected to broaden bilateral trade opportunities, streamline market access, and boost investment flows between the two nations. Key areas likely to see enhanced cooperation include technology, agriculture, defence, cybersecurity, innovation, water management, and pharmaceuticals, where Israel has strong expertise and India offers vast market potential.
Goyal emphasized that the agreement could play an important role in unlocking new supply-chain linkages and creating long-term strategic value for both countries. With India’s rapidly expanding economy and Israel’s global leadership in high-tech solutions, the FTA is seen as a strategically important move that can elevate the partnership to a new level. The final negotiation schedule will be announced once both sides coordinate diplomatic and technical timelines.
