India, Israel deepen economic engagement with successful second round of FTA negotiations
The Commerce Ministry has said that India and Israel concluded the second round of negotiations for the proposed India-Israel Free Trade Agreement (FTA), with both sides making progress towards a balanced, comprehensive and mutually beneficial FTA. The four-day negotiations were held at Vanijya Bhawan, New Delhi, from July 20, 2026 to July 23, 2026.
During the negotiations, technical experts from both sides held dedicated sessions covering trade in goods, trade in services, rules of origin, sanitary and phytosanitary measures, technical barriers to trade, intellectual property rights, customs procedures and trade facilitation, economic cooperation, and other chapters under the proposed Agreement. The discussions were constructive and forward-looking, with both sides engaging in detailed technical deliberations aimed at narrowing gaps and identifying areas of convergence.
The Terms of Reference (ToR), signed in November 2025, continue to provide the structured framework for negotiations on the identified areas to strengthen bilateral trade, economic cooperation and the overall economic partnership between the two countries. Total merchandise trade between India and Israel stood at $3.93 billion in FY 2025-26. The two countries share strong complementarities across several sectors, and the proposed FTA presents significant opportunities to further enhance bilateral trade, investment and economic integration.
