India-EU Free Trade Agreement: Non-Tariff Issues Explained

India's $15 billion trade surplus with the EU masks a petroleum paradox, warns agriculture economist G. Chandrashekhar. This BasisPoint Insight interview cuts through the hype around the India-EU trade deal to reveal the challenges: stringent farm-to-fork standards, carbon border penalties, and quality compliance gaps that could determine whether excitement translates to export reality.

Discussion Points:

• Why India's petroleum exports to EU could collapse if Russian crude imports stop
• Europe's Farm to Fork 2030 vision and maximum residue limits for Indian agricultural exports
• Carbon Border Adjustment Mechanism penalties on India's coal-powered manufacturing
• Infrastructure and quality certification challenges for MSMEs
• Organic farming opportunities in textiles, spices, marine products, and handicrafts
• Strategic district-level organic cultivation zones for European markets
• Will premium European brands benefit more than Indian farmers?

With bilateral trade at $136 billion in 2024-25, this deal represents enormous potential, but requires India to dramatically upgrade quality systems, reduce carbon footprint, and strengthen border controls.

Chandrashekhar argues this is less a miracle moment and more a long runway requiring fundamental reforms.