UPSC Prelims Practice Questions — India, EU close in on FTA as negotiations conclude

Q1. With reference to the India–EU Free Trade Agreement concluded in January 2026, consider the following statements: 1. The agreement evolved from the Broad-Based Trade and Investment Agreement (BTIA), negotiations for which originally began in 2007. 2. Under the agreement, the EU has committed to eliminate duties on about 70.4% of its tariff lines immediately upon entry into force. 3. The 16th India–EU Summit at which the agreement was announced was held in Brussels. 4. The FTA negotiations were relaunched in 2022, ending a nine-year suspension that began in 2013. Which of the statements given above are correct?

  1. BTIA origin 2007
  2. EU immediate tariff elimination on ~70.4% of lines
  3. 16th Summit held in Brussels
  4. Relaunched 2022 after 9-year suspension
  • A. 1, 2 and 4 only
  • B. 1, 3 and 4 only
  • C. 2 and 3 only
  • D. 1, 2, 3 and 4

Q2. In the negotiation of the India–EU Free Trade Agreement concluded in January 2026, which one of the following acted as the negotiating authority on behalf of the European Union?

  • A. European External Action Service
  • B. European Commission's Directorate-General for Trade
  • C. Council of the European Union
  • D. European Parliament's Committee on International Trade

Q3. The 16th India–EU Summit at which the India–EU Free Trade Agreement was announced in January 2026 was co-chaired by Prime Minister Narendra Modi along with which of the following?

  • A. European Commission President Ursula von der Leyen and European Council President Antonio Costa
  • B. European Commission President Ursula von der Leyen and European Parliament President Roberta Metsola
  • C. European Council President Charles Michel and EU High Representative Josep Borrell
  • D. European Commission President Jean-Claude Juncker and European Council President Donald Tusk

Q4. Which one of the following is, by share of bilateral trade covered, India's largest free trade agreement concluded to date?

  • A. India–EU Free Trade Agreement
  • B. India–UAE Comprehensive Economic Partnership Agreement
  • C. India–Australia Economic Cooperation and Trade Agreement
  • D. India–EFTA Trade and Economic Partnership Agreement