India Fast-Tracks FTA Talks with Russia-led EAEU and Israel to Counter High US Tariffs
India and the Russia-led Eurasian Economic Union (EAEU) group are likely to hold the next round of talks for the proposed trade agreement in February
New Delhi: India is expected to expedite its negotiations on the free trade agreement or FTA with key nations like Russia and Israel soon, starting from January in the new year. The move of the government aims at diversifying its export markets due to high tariffs imposed by the United States. India and the Russia-led Eurasian Economic Union (EAEU) group are likely to hold the next round of talks for the proposed trade agreement in February, while India and Israeli teams are expected to meet next month on the proposed FTA, an official source said on Wednesday.
As far as India and the five-nation Russia-led group EAEU is concerned, both of them signed the terms of reference (ToR) for the agreement on August 20, 2025, outlining an 18-month work plan aimed at diversifying markets for Indian businesses, including MSMEs, farmers and fishermen. “The first round of talks was held here in November, while the second round is expected in February in Russia,” the source said.
Russia, Armenia, Belarus, Kazakhstan, and Kyrgyzstan are the five member countries of EAEU. The pact is important as India is looking to diversify its export markets due to high tariffs imposed by the US. Russia is the top-trading partner of India in the bloc, with bilateral trade worth $68.72 billion in 2024-25 (exports $4.88 billion and imports $63.84 billion). The high import numbers are due to a jump in crude oil imports.
Meanwhile, the source further said that India and Israeli teams are expected to meet next month on the proposed FTA. “In November, the two countries inked terms of reference to formally start negotiations for the agreement, which aimed at boosting bilateral trade and investments. “Issues related to structuring of Israel-India FTA are expected to be chalked out in the January meeting,” the source said, adding that trade representatives from Israel are expected to arrive in India for talks.
India is Israel’s second-largest trading partner in Asia. During 2024-25, the latest government data showed that India’s exports to Israel dipped 52 per cent to $2.14 billion from $4.52 billion in 2023-24. Imports, too, fell 26.2 per cent to $1.48 billion last fiscal year. The bilateral trade stood at $3.62 billion.