The Global Trade Research Initiative has urged India to strengthen its food safety infrastructure before finalizing the upcoming India-EU Free Trade Agreement. Experts warn that without modernizing domestic standards and import inspection systems, Indian agricultural exporters may continue to face high rejection rates in European markets while facing increased competition at home.
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As India prepares for the upcoming India-European Union Free Trade Agreement, expected to be signed by the end of 2026, experts have raised concerns regarding the country's food safety preparedness. A report by the Global Trade Research Initiative suggests that India must urgently modernize its food safety systems to ensure a balanced trade relationship, as the current framework may leave domestic farmers and exporters at a disadvantage.
Challenges in Food Export Compliance
The European Union has historically issued hundreds of food safety notifications against Indian agricultural products, leading to frequent border rejections and costly recalls. According to the report, the EU's strict regulatory environment often acts as a barrier to trade for Indian exporters. A key concern highlighted by the GTRI is that lower tariffs, which are typically part of a free trade agreement, may fail to boost exports if Indian agricultural goods continue to struggle with European safety compliance standards. The report notes that the EU uses an average of 2.67 kg of pesticides per hectare, significantly higher than India’s usage of 0.24 kg, yet Indian products frequently encounter stricter border scrutiny.
Strengthening Import and Domestic Standards
The report advocates for a science-based and reciprocal food safety framework within India. This includes implementing robust farm-to-port traceability, expanding internationally accredited laboratories, and ensuring consistent residue monitoring. Currently, the enforcement by authorities such as the Food Safety and Standards Authority of India (FSSAI) is seen as an area requiring greater stringency. By treating imported food with the same rigorous inspection standards applied to Indian exports, the report argues that India can better protect domestic interests while maintaining international trade obligations.
Future Monitoring and Institutional Support
To improve competitiveness, the GTRI recommends the creation of a specialized Food-Safety Monitoring and Response Cell. This unit would focus on tracking regulatory changes in global markets and providing real-time alerts to Indian exporters, helping them adapt to shifting compliance requirements. The report points to the example of China, which established a strict, science-based inspection regime that allowed it to effectively manage food safety violations from European consignments between 2013 and 2019. For Indian investors, the focus remains on whether these systemic reforms will be implemented to support the agricultural sector's long-term export potential. The primary monitorable for the coming months will be the government's stance on these safety framework adjustments during the final negotiations of the trade deal.