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India-EU FTA nears, CBAM remains key concern
The Business Guardian
|January 22, 2026
While India and the European Union move closer to finalising a long-pending Free Trade Agreement (FTA), concerns remain for India on non-tariff barriers, particularly the upcoming Carbon Border Adjustment Mechanism (CBAM), highlighted Jefferies in its latest report on the India-EU trade deal.
The report said that a key concern for India is the presence of multiple non-tariff barriers for its exports to the EU, with limited scope for relaxation. It specifically pointed to CBAM as a major challenge, noting that this mechanism could impact Indian exports going forward.
Jefferies stated “Key concern for India is the many non-tariff barriers such as the upcoming CBAM mechanism for its exports. We see limited scope of relaxation here”.
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