India signs ‘Mother of all deals’ FTA with EU: Which food items will get cheaper in India?

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 Which food items will get cheaper in India?

India and the EU have finalized a Free Trade Agreement after two decades of negotiations, promising cheaper imported goods for Indian consumers. The deal significantly slashes import duties on various items, including food and automobiles, with tariffs on over 90% of EU goods set to drop over the next few years, making everyday basics more affordable.

India and the 27-nation bloc EU finalised the Free Trade Agreement after nearly two decades of talks, called the ‘Mother of all deals’ by Ursula von der Leyen, the president of the European Commission, promising cheaper imported goodies for Indian shoppers.The deal significantly slashed import duties on many items across multiple sectors, mainly including food and automobiles, bringing down the prices of many of these items over the years.Many of the items listed in the food section also include the raw materials for our most-loved delicacies, like pasta.

 Which food items will get cheaper in India?

India signs ‘Mother of all deals’ FTA with EU: Which food items will get cheaper in India?

Tariffs will drop on over 90% of EU goods over the span of a few years.

Tariffs to be reduced by half or completely removed on daily basics

India’s new EU free trade agreement slashes or wipes out tariffs on most European exports, especially foods previously hit with 30–55% duties.

EU statements say it will save exporters up to €4 billion yearly, flooding India with affordable agri-products.

What food items will get cheaper after the tariff reduction

Olive oil and vegetable oils will drop from 45% tariffs to 0% over five years. Processed food items like pasta, biscuits, bread, chocolates, pastries, and pet food will go duty-free from tariffs as high as 50%.Other items, including fruit juices and non-alcoholic drinks, will be reduced to 0% duty from 55%; kiwis and pears will fall to 10% from 33% within quotas.

Sheep meat will also become duty-free from 33%, while meat preparations like sausages will halve to 50% from 110%.

India-EU FTA

Antonio Costa, Narendra Modi, and Ursula von der Leyen

How will the FTA impact consumers?

Shoppers will get premium picks like European chocolates and oils at lower costs, giving them more freedom for flavour experiments and expanding cuisine choices in fine dining. More variety means better options without luxury prices.

Previous FTA deals that India has signed

With this deal, the EU becomes India’s 22nd free trade partner. Since 2014, the NDA government has wrapped up pacts with Mauritius, UAE, UK, EFTA, Oman, and Australia, and announced one with New Zealand. Last year, in 2025, they signed deals with Oman and the UK, and locked in talks with New Zealand as well.

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