Since January 1, 1995, when India became a founding member of the World Trade Organization, six years ahead of China, international trade has rarely felt as central to its growth story as it did in the seven days from January 27 to February 2.
Three big events occurred in that short time frame. First came the India–EU trade pact, described by Commerce Minister Piyush Goyal as the “mother of all trade deals”, a term later echoed by EU Chief Ursula von der Leyen at Davos. Then came President Donald Trump’s announcement at the same venue of a US–India pact that would ease the tariff squeeze he had imposed on India and lift the pressure off Indian exporters. And in the middle was the Union Budget 2026–27, Nirmala Sitharaman’s ninth, one that seeks to keep the growth engine chugging along.
Put together, these are not just feel-good headlines. The deals will shape the future of India’s engagement with the world and mark a new chapter in Prime Minister Narendra Modi’s external trade policy framework. That they come at a time when globalisation is no longer a consensus, and the continuing shock waves of artificial intelligence threaten to upend export-engines like software services, underscore their importance.
As Surabhi explains in the cover story, the agreement with the US matters the most because it is a reset of India’s most strategic bilateral relationship. It may not be a full free trade agreement yet; it is a framework, non-binding as of now, with conditions and caveats. But it is a bargain, somewhat uneven, that provides market access to the US and reduces penal tariffs on India. One sticking point is the US claim around Russian crude oil. President Trump’s statement is explicit with its demands on this, while India is hedging to protect its energy security. The other is the claim that India will address non-tariff barriers in priority areas
This is where the art of the deal matters. New Delhi held its ground, and Washington, at least on paper, appeared to blink.
PM Modi’s chosen team in the commerce ministry, led by Goyal, negotiated hard. This is underlined by the fact that days after some aspects of the US factsheet on the deal raised eyebrows in India, the White House adjusted the text on a politically sensitive farm item like pulses, as well as replaced the word “committed” to “intends” for India to purchase $500 billion worth of US energy, technology and other products.
Taken together, the impact of the nine trade deals India has finalised in the recent past will be felt sector-by-sector, with real benefits accruing over time. But their deeper value is strategic: India has opened up, widening its options and is reducing over-dependence on any one global market.
Elsewhere, Palak Agarwal focuses on India’s gig economy, one that is nearly 60 million strong and projected to expand to 90 million by 2030. While India’s workforce has long been dominated by informal labour, digital platforms are reshaping how this work is discovered and paid for, in turn helping millions get access to more formal income opportunities.
In the end, trade pacts and Budgets only matter if they have a tangible economic impact, and India looks like it is lining up for a growth sprint.
