India's Advantage in EU Trade Pact

India benefits from its free trade agreement with the EU, allowing its goods to enter Turkiye with tariff concessions. However, Turkiye can't reciprocate as Turkish goods can't use this pact to enter India. The India-EU FTA, expected to be signed soon, excludes Turkiye's preferential access.

The Global Trade Research Initiative (GTRI) revealed that India's free trade agreement (FTA) with the European Union (EU) has provided an unexpected advantage. Indian products can now access Turkiye with tariff concessions via the EU, while Turkiye can't leverage this agreement to enter India.

This is due to the EU-Turkiye customs union, which facilitates tariff-free trade between them for many goods. Indian goods, once in the EU, can proceed to Turkiye without additional tariffs, a benefit not extended in the reverse direction.

A strained India-Turkiye relationship due to political tensions doesn't affect this trade aspect. The India-EU FTA, nearing its signing, specifically restricts preferential access only to EU-origin goods, keeping Turkiye from the same benefits.

(With inputs from agencies.)