India-Israel FTA Talks: A New Era of Trade Opportunities

In a significant move to enhance bilateral commercial relationships, India and Israel have initiated negotiations for a free trade agreement. The discussions, which began on February 23, 2026, in New Delhi, aim to eliminate trade barriers and promote investments, according to an official statement released on Tuesday.

The current negotiations follow the November signing of the terms of reference, setting a framework for the impending talks. Technical experts from both nations are engaging in detailed sessions, addressing trade in goods and services, rules of origin, and intellectual property rights, among other key aspects. These sessions coincide with the upcoming visit of Indian Prime Minister Narendra Modi to Israel on February 25-26.

Despite historic trade links dominated by diamonds, petroleum, and chemicals, the negotiations aspire to expand into areas like technology and high-tech manufacturing. With India's exports to Israel having dipped in recent years, the proposed free trade agreement could rejuvenate economic ties, ensuring broader market access and a smoother flow of capital and services.