The recently finalised India–European Union Free Trade Agreement (FTA) is expected to significantly expand opportunities for India’s pharmaceutical and medical technology sectors by opening access to a USD 572 billion European healthcare market, Union Health Minister J.P. Nadda said.

The agreement is likely to reduce tariffs and regulatory barriers for Indian pharmaceutical products and medical devices, strengthening the global competitiveness of domestic manufacturers. It will also encourage exports from major pharma and medtech hubs such as Gujarat, Maharashtra, Karnataka and Andhra Pradesh.

Industry experts believe the FTA will support sectoral growth, job creation, increased MSME participation and deeper integration into global value chains. Indian companies are expected to benefit from smoother market entry and stronger collaboration with European partners.

At the same time, European firms will gain improved access to the Indian market, opening avenues for higher investment, technology transfer and joint ventures in healthcare manufacturing.

Europe continues to be a key export destination for Indian drugmakers, particularly for formulations, active pharmaceutical ingredients, biosimilars and vaccines. The FTA is expected to further strengthen India’s position as a trusted supplier of affordable, high-quality healthcare products.