India and Israel Conclude Second Round of Free Trade Agreement (FTA) Negotiations

· India and Israel successfully concluded the second round of negotiations for the proposed India–Israel Free Trade Agreement (FTA).

· The negotiations were held from 20–23 July 2026 at Vanijya Bhawan, New Delhi.

· Both sides held detailed discussions across all areas of the proposed agreement and made progress toward a balanced, comprehensive, and mutually beneficial FTA.

· The negotiations are being guided by the Terms of Reference (ToR) signed in November 2025, which provides the framework for strengthening bilateral trade and economic cooperation.

· Bilateral merchandise trade between India and Israel stood at USD 3.93 billion in FY 2025–26.

· Negotiations covered key areas, including:

o Trade in goods

o Trade in services

o Rules of Origin

o Sanitary and Phytosanitary (SPS) Measures

o Technical Barriers to Trade (TBT)

o Intellectual Property Rights (IPR)

o Customs Procedures and Trade Facilitation

o Economic Cooperation and other FTA chapters

· The discussions were described as constructive and forward-looking, focusing on narrowing differences and identifying areas of convergence.

· India's Chief Negotiator Shri Ajay Bhadoo, Additional Secretary, Department of Commerce, reaffirmed India's commitment to concluding a balanced and mutually beneficial agreement.

· Israel's Chief Negotiator Ms. Yifat Alon Perel, Senior Director, Trade Policy & Agreements, appreciated the progress made since the first round and emphasized maintaining momentum.

· Both countries reaffirmed their commitment to early conclusion of the FTA to strengthen trade, investment, and overall economic ties between India and Israel.

[ABS News Service/25.07.2026]

India and Israel concluded the second round of negotiations for the proposed India-Israel Free Trade Agreement (FTA), held from 20 to 23 July 2026 at Vanijya Bhawan, New Delhi. During the four-day negotiations, both sides held detailed discussions across all areas of the proposed Agreement and continued to make progress towards a balanced, comprehensive and mutually beneficial FTA.

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 USD 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.

During this round, 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.

During the opening session, India's Chief Negotiator for the FTA, Additional Secretary, Department of Commerce, Shri Ajay Bhadoo reaffirmed India's commitment to negotiating a balanced, comprehensive and mutually beneficial agreement that would further strengthen bilateral trade and economic relations between the two countries. Israel's Chief Negotiator, Ms. Yifat Alon Perel, Senior Director, Trade Policy & Agreements and Deputy Trade Commissioner, Foreign Trade Administration, Ministry of Economy and Industry, appreciated the progress made since the first round of negotiations and emphasised the importance of maintaining the momentum towards achieving an ambitious and mutually beneficial outcome.

Both sides reiterated their commitment to working towards the early conclusion of a balanced, comprehensive and mutually beneficial FTA that will further deepen bilateral trade, investment and economic ties between India and Israel.