Goyal hits out at Congress for raising concerns over India-EU FTA

Commerce and Industry Minister Piyush Goyal on Wednesday (January 28, 2026) criticised the Congress for raising concerns over the India-EU free trade agreement, saying the pact is not a zero-sum deal but a win-win pact, which will power the country’s economic growth and create huge opportunities for businesses and people.

The Congress on Wednesday (January 29) flagged concerns after the India-EU free trade pact was sealed, including the Narendra Modi Government’s “failure” to secure an exemption for India’s aluminium and steel makers from the EU’s Carbon Border Adjustment Mechanism and tariff reduction or relief on over 96 per cent of the bloc’s exports to India.

Congress general secretary in-charge communications, Jairam Ramesh, said there are also concerns about the EU’s strict health and product safety rules, which will continue to be in force over Indian exports even after the FTA, as well as the concern about India’s largest export to the EU — refined fuels.

In a reply to Mr. Ramesh’s remarks on social media, Mr. Goyal said it is interesting to see that those who could not take decisions because they had no connection with the people on the ground are today making a virtue of not doing anything.

The Minister said that Indian people have paid immense costs for this lost opportunity, and the country has lost valuable jobs, income and growth, and people have rightly punished this inaction many times.

“I only hope my friend will shed this negative and pessimistic approach, which is unable to see our aspirational people raring to go out and do business with the world. Let’s work to open opportunities for them, rather than act as roadblocks in their quest for prosperity,” Mr. Goyal said on X.

In a point-by-point rebuttal, Mr. Goyal said it puzzles him that when the whole world is calling it the “mother of all deals”, Mr. Ramesh thinks it is hugely hyped.

“Is the combined GDP of $25 trillion, combined global trade of $11 trillion and a common market of 2 billion people, $33 billion of India’s labour-intensive exports going to zero on day 1 a hype? What is also unfortunate is that my friend missed a basic fact that we are both largely complementary economies,” he wondered.

“It is not a zero-sum deal but a win-win deal which will power our economic growth and create a plethora of opportunities for our businesses and people,” he added.

The minister also said that India has taken up the issue of CBAM (carbon border adjustment mechanism), the interests of domestic exporters in steel, aluminium and all other sectors like no one ever has, and identified pathways to find solutions.

“We have found creative ways of handling these complex and sensitive subjects through dialogue, trust and support with our partners rather than ‘my way or highway only’ kind of immature, illogical and rigid positions,” he said.

He added that the pact is a long-term strategic engagement based on trust and mutual respect, which will strengthen trade routes.

“I hope that my friend can devote more time to understand the auto sector and what we are intending to do. Our quota based, premium segment focused and phased auto offer (with a time lag of 5 years for EVs from EIF) is with an intent to boost Make in India,” he said.

Liberalising CKD (completely knocked down) imports will encourage the EU’s OEMs to set up local assembly lines, he said, adding that this serves as a stepping stone, moving foreign OEMs from “importing” to “assembling” and eventually to “full localisation” as they build local supply chains.

“This brings high-end manufacturing processes, quality standards, and advanced R&D practices into the Indian ecosystem. It will also create new demand, benefit consumers by expanding choice with faster access to global models. It also enhances safety and tech standards,” Mr. Goyal said.