Beyond the FYP
How is the Indian middle class powering FTAs?
Economy & Global Systems English

How is the Indian middle class powering FTAs?

TL;DR

India’s 432 million strong middle class is racing toward 1 billion by 2047. Amidst global tariff wars and uncertainty, it is powering free trade agreements (FTAs).

19 May 2026
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Introductory Memo Analytical View News at Glance By The Numbers Academic Insight Social Media Pulse On Our Reading List
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Introductory Memo

New Zealand and India signed a landmark trade deal on April 27, 2026, after 10 years of negotiations. It is among the FTAs India has concluded over the past year amidst the tariff war unleashed by the United States. Trade volumes form one part of the FTAs. The sheer size and momentum of the domestic consumer market in India, drew countries to signing FTAs with India.  

The Indian consumer market is reshaping how the world looks at India as a trade partner. A growing middle class is quietly turning India into the world’s most irresistible consumer market. This gives New Delhi powerful leverage to sign a flurry of landmark FTAs even amidst global tariff wars. India, known globally as an emerging market, has now become an essential one over the past year. Let's examine how India's growing middle class has become the country's greatest economic asset.



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