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India’s EU Trade Breakthrough Triggers Panic In Pakistan As GSP Plus Advantage Begins To Crumble

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Summary: The India-EU free trade agreement is fast emerging as a turning point for regional trade, and Pakistan is feeling the heat. The deal gives Indian manufacturers direct, duty-free access to Europe, undercutting Pakistan’s preferential GSP Plus status that once offered a clear edge in textiles and apparel. Pakistani officials insist ties with the EU remain strong, but exporters fear the tariff cushion that sustained competitiveness is disappearing. With exports already falling this fiscal year, warnings are growing louder that millions of jobs linked to EU-bound trade could be impacted. For India, the deal strengthens global supply chains and economic clout. For Pakistan, it signals an urgent need to adapt as Europe’s doors open wider for Indian goods.

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