India and Israel have initiated free trade agreement Negotiations in New Delhi, aiming to enhance bilateral trade and investment. The talks, which began on February 23, 2026, will continue until February 26, 2026, as confirmed by the commerce ministry.
Free Trade Agreement Negotiations
The negotiations follow the signing of the terms of reference in November of the previous year, setting the stage for discussions on reducing import duties, easing trade norms, and facilitating investment. Key areas of focus include innovation, technology transfer, and trade in services.
Commerce Secretary Rajesh Agrawal highlighted the significant opportunities in sectors like artificial intelligence, cybersecurity, and high-tech manufacturing. India’s Chief Negotiator, Ajay Bhadoo, and Israel’s Yifat Alon Perel are leading the discussions.
Historically, India and Israel have attempted similar negotiations, with the last round in October 2021. The current talks are crucial, especially with Prime Minister Narendra Modi’s visit to Israel on February 25-26.
Bilateral trade between the two nations stood at USD 3.62 billion in the last fiscal year, with a notable decline in India’s exports to Israel. The FTA aims to restore and expand economic engagement, providing clarity and predictability for both countries.
Published in SouthAsianDesk, February 25th, 2026
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