India-EU FTA Finalized But Not 'Signed': What’s Causing the Delay and Why It Will Hit Ground Next Year

The recently concluded India-European Union Free Trade Agreement has brought a wave of joy among the exporters of the country and is being hailed as the ‘mother of all trade deals’. The deal is likely to boost India’s economy on a substantial scale by lowering the tariffs and granting preferential entry of Indian goods in European markets.

However, the process, as it stands currently, has not yet reached its final stage. Despite the successful conclusion and an announcement of the discussions and proposed benefits, the deal has not been officially signed yet by both parties.

The reason behind this delay is not political however, but rather procedural. While the basic points of the deal have been finalized, the details needs to go through a process of legal vetting known as ‘legal scrubbing’.

As the name suggests, during the process of legal scrubbing, the minute details of the deal will be thoroughly scrutinized by the best legal minds and the process will likely take a few months.

According to media reports, an official aware of the matter, spoke to a major news outlet stating, “After subsuming a few chapters, India and the EU have completed talks on 21 chapters. While the legal scrubbing of the deal would take four to five months, the trade deal will come into effect by early next year after being ratified by the European Parliament.”

The deal is expected to be implemented early next year.

What is ‘legal scrubbing’, and why it matters?

Legal vetting, or "scrubbing," is a mandatory final review to ensure a trade deal is legally consistent across all chapters and accurately translated into every required language. It is essential because it serves as the final gateway to ratification; without this official verification, the agreement cannot be signed into law by either government.

Also Read: ‘Unprecedented Alignment’: PM Calls India-EU FTA A Global Growth Engine