The European Union and India have signed a historic free trade agreement covering nearly one-third of global trade and about a quarter of the world’s economy, ProAgro Group reports.
The agreement предусматриває a gradual reduction or elimination of tariffs on most goods, including agricultural products, opening access for European producers to a market of more than 1.4 billion people. This creates new export opportunities for cereals, dairy products, wine, and processed foods. At the same time, it is expected to intensify competition within the EU market, as Indian suppliers will gain broader access to exporting rice, pulses, spices, and sugar—often at lower prices.
For Ukraine, this agreement may increase pressure on its traditional positions in the EU market, particularly in the grain and oilseed segments, where Indian products could partially displace Ukrainian supplies. In addition, European producers gaining expanded access to the Indian market may reduce domestic demand for Ukrainian dairy and food products.
The EU–India agreement is shaping a new architecture of global trade in which the agricultural sector plays a central role. For Ukrainian exporters, this serves as a signal to accelerate market diversification, explore new destinations in Southeast Asia and Africa, and invest in higher product quality and branding to maintain competitiveness.
As previously reported, earlier this month the EU also signed a trade agreement with MERCOSUR, negotiations over which had lasted more than 20 years.
