District action plans to maximise FTA benefits in two months

The ministry will conduct workshops in every state to familiarise exporters with the benefits available under these agreements and help them tap the support offered by export promotion councils (EPCs)
Free trade agreements
Free trade agreementsPhoto | Express
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Commerce ministry plans to roll out district action plans across all states within the next two months to help exporters, particularly small businesses, make better use of the free trade agreements (FTAs) signed by India in recent years, official sources said.

The ministry will conduct workshops in every state to familiarise exporters with the benefits available under these agreements and help them tap the support offered by export promotion councils (EPCs).

“We are currently holding meetings in every state to design a district action plan so that all 760 districts can leverage the benefits of FTAs. The idea is to involve exporters from states as much as possible, and we are taking it down to the cutting-edge level. This will help districts become export hubs,” an official said.

India has signed nine FTAs in recent years, covering 38 countries, with the latest agreement with New Zealand being implemented on October 20. While several agreements have come into force, helping exporters, particularly smaller firms, take advantage of preferential market access remains a challenge.

“There will be workshops in every state, and all these plans will be implemented within the next two months. The problem is that the benefits offered by export promotion councils often do not reach exporters, who are frequently unaware of them,” the official said.

The government has held consultations with exporters in the past to encourage greater use of FTAs. The district-level initiative seeks to take this effort further by identifying products that can be promoted in international markets and helping businesses understand the opportunities available in partner countries.

India has signed trade agreements with several countries and regions in recent years, including the UAE, Australia, the UK and Oman, while negotiations are under way with countries such as Chile, Peru and the European Union.

However, trade balances with some FTA partners underline the need to improve export performance and make better use of market access. India's merchandise trade deficit stood at $6.5 billion with Australia and $26.52 billion with the UAE in FY 2025-26, according to official data. The deficit with New Zealand was $22.5 million.

Exporters have also been asked to identify products specific to their respective states and districts that could be developed as areas of specialisation for international markets.

To coordinate the initiative and help exporters prepare, the government is likely to set up a body comprising officials from the Directorate General of Foreign Trade (DGFT) and the Department of Commerce, along with representatives of export promotion councils and industry associations.

The district action plans are expected to focus on identifying export potential, improving awareness of FTA provisions and connecting local businesses with the institutional support needed to access overseas markets.

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