The European Commission and India have today announced the end of negotiations for a free trade agreement (FTA). It is the largest one both parties have reached to date, creating a free trade zone of 2 billion people benefiting both economic areas and, within the European Union, different countries such as Spain and autonomous communities such as Aragon.
Currently, the aragonese community has just over 30 companies that regularly export to India and exports products worth 17,332 thousand euros, according to Customs data. A figure that could increase, since the objective of the negotiations for this new FTA is to intensify trade relations and double exports by eliminating or reducing tariffs, which will save a total of 4 billion euros each year in duties on European products.
With this trade agreement,Aragon will be able to access a market of 1.45 billion people and an economy like India’s, one of the fastest growing, with an annual GDP of 3.4 trillion euros and intensify the relationships it now maintains, especially in sectors such as automotive, where products worth 239.60 thousand euros have been exported up to October 2025; machinery, with 1,627.96 thousand euros, and components for machinery with 5,273.70 thousand euros, among others, according to Customs data, to which elEconomista has had access.
In fact, business opportunities will come above all from the reduction of tariffs for automobiles, which will gradually decrease from 100% to 10%, and also being completely eliminated for car parts within a period of between five and ten years.
The agreement also contemplates the elimination of a large part of the tariffs,up to 44%,for machinery,and also 22% for chemical products,Aragonese exports to India amount to 148.93 thousand euros, and 22% for pharmaceutical products, of which Aragon sells to this Asian country for a value of 204.42 thousand euros. Likewise, tariffs on more than 36% on average of exports of agri-food products from the European Union are reduced.
Among the most benefited sectors, for example, are wines, which will decrease from 150% to 75% upon entry into force and, ultimately, to 20%. A reduction that can be a lifeline for the sector given the widespread crisis that the wine sector is going through due to falling consumption and changes in consumption patterns in Spain, which require intensifying more external markets.
el presidente de la República,gabriel Boric,encabezó este miércoles en el Palacio de La Moneda un consejo de seguridad extraordinario,luego de los incidentes registrados en la Región de la Araucanía durante este fin de semana. En la instancia, se analizaron las acciones a seguir para restablecer el orden público y garantizar la seguridad de los ciudadanos.
En la ocasión, el mandatario condenó enérgicamente los actos de violencia protagonizados por grupos radicales y anunció el envío de refuerzos policiales a la zona. Asimismo, instruyó a las fuerzas de seguridad a intensificar los operativos para detener a los responsables de los ataques a vehículos, propiedades y personas.
”No vamos a permitir que la violencia se instale en nuestro país”, afirmó el presidente Boric. “Vamos a utilizar todos los instrumentos legales a nuestra disposición para combatir la delincuencia y proteger a nuestros ciudadanos”.
El consejo de seguridad contó con la participación del ministro del Interior, Andrés Chadwick; el ministro de Defensa, Mario Desbordes; el director general de Carabineros, Ricardo Yáñez; y el general director de Investigaciones, Miguel Soto.
Durante la reunión, se revisaron los informes de inteligencia y se establecieron las líneas de investigación para identificar a los líderes de los grupos violentos y desarticular sus redes de apoyo.
El gobierno también anunció que reforzará la presencia del Estado en la Región de la Araucanía, con el objetivo de mejorar la calidad de vida de los habitantes y promover el desarrollo económico y social de la zona.
En tanto, el ministro Chadwick llamó a la calma a la población y aseguró que las autoridades están trabajando para garantizar la seguridad de todos los ciudadanos.
“Estamos comprometidos con restablecer el orden público y proteger a nuestros ciudadanos”, declaró el secretario de Estado. “vamos a utilizar todos los recursos necesarios para lograr este objetivo”.
The companies of Aragon are setting their sights on India. The agreement with the EU opens opportunities for the agri-food and industrial sectors.
The recent trade agreement between the European Union and India is generating significant expectations among Aragonese companies, who see in this new scenario a gateway to a market with enormous potential. The agri-food and industrial sectors are particularly optimistic, anticipating a boost in exports and the establishment of new business collaborations.
the agreement,which reduces or eliminates tariffs on a wide range of products,is expected to facilitate access for Aragonese agri-food products,such as wine,olive oil,and processed foods,to the Indian market. Similarly, industrial companies in sectors such as automotive, machinery, and renewable energies foresee opportunities to expand their presence in India.
“India is a market with a growing middle class and increasing demand for quality products, which represents a significant opportunity for our companies,” says a representative of the Aragon Chamber of Commerce. “The agreement with the EU removes many of the barriers that previously hindered trade, making it easier for Aragonese companies to compete in this market.”
Several Aragonese companies have already begun to explore the possibilities offered by the Indian market, participating in trade missions and establishing contacts with potential partners. The regional government is also supporting these efforts, providing data and assistance to companies interested in exporting to India.
However, companies also acknowledge the challenges of doing business in India, such as cultural differences, bureaucratic hurdles, and logistical complexities. “it is indeed critically important to approach the Indian market with a long-term vision and a willingness to adapt to local conditions,” says a business leader.
Despite these challenges, the overall outlook is positive. The agreement with the EU is seen as a catalyst for increased trade and investment between Aragon and India, creating new opportunities for economic growth and job creation.
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