N※N

India Shifts from 'Take-It-or-Leave-It' Trade Stance

  //business-finance.news-articles.net/content/202 .. hifts-from-take-it-or-leave-it-trade-stance.html
  Published in Business and Finance on Thursday, January 15th 2026 at 6:58 GMT by Zee Business

From Take-It-or-Leave-It to Mutual Benefit

For years, India's trade negotiation stance has been perceived by some as uncompromising, a 'take-it-or-leave-it' approach that occasionally stalled progress. However, Barthwal's recent remarks clearly indicate a departure from this strategy. He emphasized that India is actively "recalibrating" its approach to foster stronger, more cooperative relationships with its trading partners. This shift acknowledges the complexities of global trade and the need to address the specific concerns and interests of all parties involved, rather than simply pushing for India's own agenda.

The US BTA: Mobility and Intellectual Property Remain Key

The ongoing Bilateral Trade Agreement negotiations with the United States remain a crucial priority. While progress has been made, significant hurdles persist, particularly concerning mobility (specifically, visa access and work permits for Indian professionals) and intellectual property rights (IPR). The US has consistently expressed concerns about these areas, viewing them as impediments to deeper economic engagement. Barthwal acknowledged the US's focus, stating that India is actively working towards finding solutions that address these anxieties while still protecting India's national interests. Industry analysts suggest that a resolution on mobility issues could unlock significant investment flows from the US into the Indian technology and services sectors.

Canada FTA: Seeking Enhanced Market Access

Negotiations with Canada are also progressing, although with their own set of challenges. India's primary objective in the Canada FTA is to secure greater market access for its goods. Canadian tariffs and non-tariff barriers have historically limited the potential for Indian exports, particularly in sectors like agriculture and textiles. While initial progress has been made in some areas, several critical outstanding issues continue to require attention. Sources within the Ministry of Commerce suggest that discussions are focused on addressing agricultural subsidies and regulatory differences that impact trade flows.

EU FTA: A Complex Web of Interests

Perhaps the most complex of the three negotiations is the Free Trade Agreement with the European Union. The EU's diverse membership and the varying priorities of its member states significantly complicate the process. Reaching a consensus that satisfies all parties requires painstaking diplomacy and compromise. Barthwal remains cautiously optimistic, recognizing the gradual, incremental nature of the progress. Specifically, the EU has raised concerns regarding data localization and environmental regulations, while India is seeking greater access to the EU's services market. The sheer number of stakeholders and the intricacies of EU policy-making mean that a breakthrough is not imminent, but ongoing dialogue is considered vital to maintaining momentum.

A More Pragmatic Approach - What Does it Mean for India?

This revised approach to trade negotiations represents a more mature and pragmatic strategy for India. It signals a willingness to engage in constructive dialogue, address concerns, and find mutually acceptable solutions. While this may mean foregoing some immediate gains, it is widely believed to foster long-term, sustainable trade relationships. This shift also comes at a critical time as India strives to solidify its position as a major global economic power and attract foreign investment. The willingness to be flexible and accommodating can significantly impact India's attractiveness as a trading partner. The commitment to balanced trade aligns with Prime Minister Modi's broader vision of inclusive growth and global cooperation.

Analysts predict that this altered approach will likely lead to more protracted negotiations, but ultimately, should result in more robust and beneficial trade agreements for all parties involved. The focus now is on building trust and fostering a spirit of collaboration, moving beyond purely transactional relationships to establishing partnerships built on mutual respect and shared prosperity.