India-EU FTA: Olive Oil Prices to Drop by 20-35% as Tariffs Eliminated

• India and the European Union finalized a Free Trade Agreement (FTA) on January 27, eliminating tariffs on several products.
• Import duties on olive oil, margarine, and various vegetable oils, previously 40-45%, have been completely removed.
• This tariff elimination is expected to reduce retail prices of imported olive oil by 20-35% and other vegetable oils by 20-25%.
• Major EU olive oil brands like Bertolli, Borges, and Colavita will become more affordable, with estimated new prices for 1 liter of extra virgin olive oil ranging from INR 500-950.
• The FTA aims to boost EU imports, increase consumer choice, and encourage healthier eating habits in India, despite state-level taxes and distribution costs still influencing final prices.

Why It Matters: India-EU FTA eliminates tariffs on olive oil and vegetable oils, making them significantly cheaper for consumers.