Business / Economy
Piyush Goyal Proposes India-Uzbekistan Free Trade Agreement… Sets Ambitious Target to Double Bilateral Trade in 3 Years
The Commerce Minister says India and Uzbekistan should explore an FTA, strengthen investment ties, and boost trade across pharmaceuticals, agriculture, technology, textiles, and mining.
India has signalled its willingness to deepen economic ties with Uzbekistan, with Union Commerce and Industry Minister Piyush Goyal proposing that both nations explore the possibility of negotiating a Free Trade Agreement (FTA).
Speaking at the India-Uzbekistan Business Forum in New Delhi on Monday, Goyal said the two countries should aim to double bilateral trade within the next three years, calling trade and investment the foundation of stronger strategic relations.“Let’s look to double trade in the next three years. A potential Free Trade Agreement is a promising idea that can be explored,” the minister said.
Current Trade Between India and Uzbekistan
According to official figures, bilateral trade between India and Uzbekistan stood at approximately $1.3 billion to $1.5 billion in 2025.
India’s key exports include:
- Pharmaceutical products
- Engineering goods
- Automobile components
- Mobile phones
- Optical instruments
Meanwhile, imports from Uzbekistan largely consist of:
- Fruits and vegetables
- Fertilisers
- Lubricants
- Juice products
Focus on Investment and Trade Facilitation
Highlighting the importance of closer economic cooperation, Piyush Goyal said the recently signed Bilateral Investment Treaty (BIT) has improved investor confidence between the two countries.
He also called for:
- Better cooperation between customs authorities
- Mutual recognition of product standards
- Faster trade facilitation measures
- Increased business investments on both sides
These initiatives, he said, would help businesses expand operations and improve market access.
New Opportunities Across Multiple Sectors
The Commerce Minister identified several sectors where India and Uzbekistan could work together more closely.
According to Goyal, India can contribute its expertise in:
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- Digital Public Infrastructure
- Information Technology
- MedTech
- FinTech
- Skilled workforce development
At the same time, Uzbekistan offers significant opportunities in:
- Mining
- Cotton production
- Agriculture
- Textile manufacturing
He also noted that collaboration in cold-chain infrastructure and agri-tech could help farmers from both countries access larger international markets.
Uzbekistan Invites More Indian Investment
Uzbekistan’s Minister of Investment, Industry and Trade, Laziz Kudratov, said the current trade volume remains below its true potential.
He highlighted that nearly 400 Indian companies are already operating in Uzbekistan and encouraged greater investments in sectors such as:
- Steel
- Healthcare
- Pharmaceuticals
- Mining
- Automobile manufacturing
President Murmu Highlights Growing Bilateral Ties
Separately, President Droupadi Murmu met Uzbekistan’s Foreign Minister Saidov Bakhtiyor Odilovich at Rashtrapati Bhavan, where she emphasised the strong historical and cultural relationship shared by the two nations.
The President noted that there is significant scope to expand cooperation in:
- Rare earth mineral mining
- Agriculture
- Information Technology
- Pharmaceuticals
She also highlighted that more than 3,000 Uzbek professionals and students have benefited from India’s ITEC training and scholarship programmes, while over 16,000 Indian students are currently pursuing higher education in Uzbekistan.
According to President Murmu, these educational and cultural exchanges continue to strengthen people-to-people ties and lay the foundation for a stronger long-term partnership between the two countries.
