Landmark India-EU FTA Fuels Opportunities for IT Firms

The India-EU free trade agreement heralds new opportunities for Indian IT firms, promising improved cross-border services and professional mobility. The FTA could bolster EU investments in India's tech sector and provide a buffer against global trade uncertainties, enhancing India's role in global value chains for digital services.

In a significant move for India's technology sector, the India-EU free trade agreement opens doors for Indian IT firms with prospects of increased cross-border service provisions and professional mobility. Nasscom, on Tuesday, highlighted the pact's potential, suggesting it could attract more EU investments into India's vibrant IT landscape.

The landmark agreement, forged amidst geopolitical turbulence and trade disruptions, could prove to be a strategic buffer for Indian IT exporters, broadening their market reach and providing stability. With the US being their largest market currently embroiled in visa-related challenges, Europe emerges as an appealing alternative.

As part of the agreement, Indian IT companies may benefit from technology transfers, joint ventures, and fortified EU market access. The accord also supports the growth of MSMEs and job creation in the tech sector, potentially easing non-tariff barriers and ensuring predictable service delivery across borders.

(With inputs from agencies.)