India, Israel to Resume FTA Talks in May 2026 as Negotiations Gain Momentum

India and Israel are scheduled to meet in May 2026 to resume negotiations for their proposed free trade agreement (FTA), the commerce ministry said on Thursday. The next round of negotiations will take place in Israel. Tel Aviv concluded the first round of four-day talks with New Delhi, where several crucial trade areas remained key priorities, reports said. Israel and India have had eight rounds of negotiations, with the last one held in October 2021.

“Both sides also agreed to continue inter-sessional engagements virtually. The next round of in-person negotiations will be held in May 2026 in Israel,” the statement from the ministry said.

As per a report by PTI, the ongoing negotiations cover trade in goods and services, rules of origin, sanitary and phyto-sanitary measures, technical barriers to trade, customs procedures, intellectual property rights, and digital trade.

New Delhi and Tel Aviv signed the Terms of Reference (ToR) in November 2025 to formally begin bilateral negotiations for the FTA. The ToR include provisions for market access for goods through the removal of tariff and non-tariff barriers, investment facilitation, simplified customs procedures, strengthened cooperation in technology transfer and innovation, and easing norms to boost trade in services.

India’s chief negotiator is Ajay Bhadoo, Additional Secretary in the Department of Commerce, while Yitfat Alon Perel, Senior Director for Trade Policy and Agreements, represents Israel.

Efforts to advance the negotiations have gained momentum, with Prime Minister Narendra Modi, during his recent two-day visit to Israel, addressing a special plenary of the Knesset in Jerusalem and urging the early conclusion of the FTA to boost the untapped bilateral trade potential between the two countries.

Both countries are likely to gain significantly in several key sectors, including machinery, chemicals, textiles, agriculture, medical devices, and advanced technologies.

“Our ties have stood the test of time. Our economic cooperation continues to serve as an engine of growth, innovation, and shared prosperity. Last year, we signed a Bilateral Investment Agreement to promote mutual investments. We will also soon finalise a mutually beneficial Free Trade Agreement,” Modi said during the joint press briefing.

In FY26, total bilateral trade between India and Israel stood at $3.62 billion.