The negotiating teams of India and South Korea concluded the 12th round of negotiations on upgrading the existing trade agreement between the two countries, with South Korea agreeing to address India’s growing bilateral trade deficit, the Ministry of Commerce and Industry said on Thursday (May 28, 2026). 

Commerce Minister Piyush Goyal and South Korean Trade Minister Yeo Han-koo had in April 2026 signed a joint declaration to accelerate negotiations to upgrade the India-Korea Comprehensive Economic Partnership Agreement (IK CEPA), which had come into force in 2010.

The 12th round of the upgrade negotiations was held in New Delhi on May 25–27, 2026. 

“Both sides acknowledged India’s bilateral trade deficit, which has risen significantly since the IK CEPA came into force in 2010, and agreed to address the issue within the overall IK CEPA framework,” the Commerce Ministry statement said on Thursday (May 28). 

India’s trade deficit with South Korea stood at $15.6 billion in 2025-26, compared to $5.1 billion in the financial year ended March 2010. 

“During the current round, discussions were held on trade in goods, trade in services, rules of origin and origin procedures , investment, and sanitary and phytosanitary standards,” it added.

The two sides also decided to constitute sub-groups to discuss cooperation in the areas of digital trade, supply chain cooperation, and strategic industrial cooperation.

Also Read : Common concerns: on India-South Korea ties

“India and Korea reaffirmed their commitment to conclude the CEPA upgrade negotiations in a time-bound manner, with the objective of achieving a modernised and mutually beneficial agreement that supports the shared vision of balanced bilateral trade and enhanced cooperation,” the statement said.

The negotiations were co-chaired by Kapil Chaudhary, Joint Secretary in the Department of Commerce and Park Geun-oh, Director General for Trade Agreement Policy in the Republic of Korea.