
Sunil Kohli, MD, Rahat Cargo said, “The India–EU FTA has opened up multiple sectors and opportunities that were previously unexplored, encouraging businesses to actively pursue expansion across the European Union by leveraging the wider avenues now available under the agreement. It is widely believed that freight forwarders and airlines should plan timely investments to scale their operations, as the FTA’s tariff reductions, streamlined customs procedures, and facilitation of trade in goods and services will drive higher volumes and demand stronger logistics capacity, infrastructure, and digitally enabled, compliance-ready operations. Looking ahead, export opportunities are expected to gain momentum across sectors such as automobiles, textiles, pharmaceuticals, cut flowers, fruits and vegetables, and edible oils, where lower EU tariffs and smoother regulatory processes can directly enhance competitiveness. However, ongoing uncertainty in the Middle East—particularly disruptions linked to the Red Sea shipping crisis—poses tangible risks to supply chains, as longer alternative routes may lead to transit delays and impact on-time delivery performance despite the long-term benefits of the India–EU FTA.”

