The first round of talks regarding Free Trade Agreement (FTA) between India and Israel began on 23 February 2026 in New Delhi, which will continue till 26 February 2026. Earlier, Terms of Reference (TOR) were signed in November 2025, under which a structured framework was set to enhance trade and economic cooperation.
The total merchandise trade between the two countries stood at US $ 3.62 billion in the financial year 2024-25. India and Israel share mutual complementarities in many areas. In such a situation, the proposed FTA is being considered as a step to increase bilateral trade and provide certainty and predictability especially to Micro, Small and Medium Enterprises (MSMEs).
What topics will be discussed in the first round of talks?
In the first round of talks, technical experts from both sides are discussing various topics including trade in goods, trade in services, rules of origin, sanitary and phytosanitary measures, technical barriers to trade, customs procedures and trade facilitation, intellectual property rights.
During the inaugural session, Commerce Secretary Rajesh Aggarwal said that the FTA talks have started at a time when Prime Minister Narendra Modi is visiting Israel on 25-26 February 2026. He emphasized the potential that exists in sectors such as innovation, science and technology, artificial intelligence, cyber security, high-tech manufacturing, agriculture and services and said that the FTA will be helpful in taking full advantage of these opportunities.
India-Israel strategic partnership will strengthen
India’s chief negotiator and Additional Secretary in the Commerce Department, Ajay Bhadu, described the talks as important for both the countries and stressed on moving towards a balanced agreement. Israel’s chief negotiator Yifat Alon Perel said the agreement has the potential to strengthen supply chains, expand cooperation and open new markets.
Both sides are working towards finalizing a balanced and mutually beneficial agreement, which will further strengthen the India-Israel strategic partnership.
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