India and the Eurasian Economic Union (EAEU) have taken a significant step toward deepening their economic ties by signing the Terms of Reference to initiate formal negotiations for a Free Trade Agreement (FTA). The EAEU, led by Russia and including Armenia, Belarus, Kazakhstan, and Kyrgyzstan, represents a major regional bloc with strong energy resources and growing markets. For India, this development aligns with its broader strategy of diversifying trade partners, reducing dependence on Western-dominated markets, and strengthening links with Eurasian economies.
The FTA discussions are expected to cover a wide range of areas, including tariff reductions, services, investment cooperation, and technology exchanges. Analysts believe that the agreement could unlock new opportunities for Indian businesses in energy, pharmaceuticals, information technology, and manufacturing, while also offering the EAEU greater access to India’s fast-growing consumer base. This comes at a time when global trade is being reshaped by shifting geopolitical alliances, with both India and the EAEU seeking alternatives to traditional Western-led economic structures.
Beyond economics, the move carries strategic importance. Strengthening India–EAEU ties enhances New Delhi’s presence in Central Asia, where competition for influence is intensifying among global powers. It also reflects India’s commitment to building multipolar partnerships that balance its relationships with the West, Russia, and Asia. If successful, the negotiations could mark a turning point in India’s trade diplomacy, opening a new chapter of connectivity and cooperation across the Eurasian landscape.
