India and Israel have concluded the second round of negotiations for the proposed Free Trade Agreement (FTA) in New Delhi, making progress across key trade and investment issues. The proposed pact aims to boost bilateral trade, strengthen economic cooperation and deepen investment ties between the two strategic partners.
Key Highlights
- India and Israel conclude the second round of FTA negotiations in New Delhi.
- Discussions covered trade in goods, services, investment, customs and intellectual property.
- Bilateral merchandise trade reached $3.93 billion in FY2025-26.
- Both countries reaffirmed commitment to an early conclusion of a balanced and comprehensive FTA.
New Delhi, July 25: India and Israel have successfully concluded the second round of negotiations for the proposed India-Israel Free Trade Agreement (FTA), held from July 20 to 23, 2026, at Vanijya Bhawan, New Delhi. The four-day negotiations witnessed detailed discussions across multiple sectors as both countries continued efforts towards a balanced, comprehensive and mutually beneficial trade agreement.
The negotiations were conducted under the Terms of Reference (ToR) signed in November 2025, which provide the roadmap for expanding bilateral trade, economic cooperation and investment. Officials from both countries reviewed progress made since the first round and worked on narrowing differences across several technical areas.
Technical teams discussed a wide range of subjects, including trade in goods, trade in services, rules of origin, sanitary and phytosanitary measures (SPS), technical barriers to trade (TBT), intellectual property rights (IPR), customs procedures, trade facilitation and economic cooperation. Both sides described the discussions as constructive and forward-looking, with efforts focused on identifying common ground.
According to official figures, India-Israel merchandise trade stood at $3.93 billion during FY2025-26. The two countries have strong complementarities in technology, manufacturing, agriculture, defence, innovation and services, making the proposed FTA an important step towards enhancing trade, investment and long-term economic integration.
During the opening session, India’s Chief Negotiator Ajay Bhadoo, Additional Secretary, Department of Commerce, reiterated India’s commitment to securing a balanced, comprehensive and mutually beneficial agreement that would further strengthen bilateral economic ties. Israel’s Chief Negotiator, Yifat Alon Perel, Senior Director, Trade Policy & Agreements and Deputy Trade Commissioner, welcomed the progress achieved and stressed the need to maintain momentum towards finalising the agreement.
Both countries reaffirmed their commitment to expediting negotiations and working towards the early conclusion of the India-Israel Free Trade Agreement, which is expected to open new opportunities for businesses, increase market access, encourage investment and strengthen the strategic economic partnership between the two nations.
The successful completion of the second round of India-Israel FTA negotiations marks another significant milestone in strengthening bilateral economic relations, paving the way for higher trade, investment and deeper strategic cooperation.
