The proposed India-European Union free trade agreement will significantly boost Indian exports and create jobs across sectors, Finance Minister Nirmala Sitharaman said on Monday.

The minister said Indian exporters stand to gain from reduced tariffs in the EU market, one of the world’s largest trading blocs. The agreement is expected to open new opportunities in textiles, pharmaceuticals, engineering goods and services.

Negotiations between India and the EU have been progressing steadily, with both sides working to resolve outstanding issues on market access, government procurement and sustainability standards. Officials say an early conclusion of the deal remains the goal.

Industry bodies have welcomed the government’s push, saying easier access to European markets will help Indian manufacturers integrate into global value chains and reduce dependence on any single export destination.

Speaking at the Munich Leaders Meeting in New Delhi, Sitharaman said greater access to the EU market would mean “more exports, more jobs,” with labour-intensive sectors such as footwear, textiles, toys and processed products — many linked to micro and small enterprises — set to gain. She said India-US trade talks had reached a plateau where further concessions would be difficult, making the EU deal more important.