Union Minister J.P. Nadda on Tuesday said the India–European Union Free Trade Agreement (FTA) will open new opportunities for India’s pharmaceuticals and medical devices sectors by providing domestic manufacturers access to the EU’s $572.3 billion pharma and MedTech market.
Nadda highlighted that the agreement’s liberalised tariff regime, particularly for Made in India medical devices, is expected to accelerate growth in high-value segments and strengthen India’s position as a reliable global healthcare partner.
India and the European Union recently announced the conclusion of negotiations for the FTA, marking a significant milestone in one of India’s most strategic economic partnerships. The pact has been described as a modern, rules-based trade framework aimed at addressing emerging global challenges while deepening market integration between the world’s fourth- and second-largest economies.
The agreement is expected to provide a major boost to India’s pharmaceutical industry by enabling companies to scale operations, generate employment and expand participation of micro, small and medium enterprises (MSMEs). It is also set to strengthen India’s integration into global supply chains, reinforcing its role as the “pharmacy of the world”.
The pact is expected to support capacity expansion and MSME cluster development, benefiting major manufacturing hubs in Gujarat, Maharashtra, Karnataka and Andhra Pradesh.
Coastal export hubs are also likely to gain from export-led growth under the agreement, supporting employment generation and processing-intensive industries. Aligned with India’s vision of Viksit Bharat 2047, the India–EU FTA is expected to promote innovation, reinforce shared values and lay the foundation for inclusive and resilient long-term growth for both India and Europe.
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