India's trade agreement with the European Union will include some agricultural products while protecting sensitive items that could harm domestic farmers, according to a senior official in New Delhi. This move signals progress in negotiations that have dragged on for years, as both sides work toward a final pact.

The deal has been under discussion for over a decade, with agricultural access remaining a major sticking point. India has historically shielded its farming sector, a vital employer for millions, while the EU seeks greater market entry for its producers. This compromise attempts to balance economic gains with political realities at home.

Key negotiations now focus on the final list of goods and tariff structures. Success could boost bilateral trade beyond $100 billion, but domestic opposition in both regions remains a hurdle. Observers will watch for the next round of talks scheduled for later this year.