India and the European Union are in the final stages of negotiating a free trade agreement that could result in a substantial reduction in India's high tariffs on imported alcohol. The consumption of European wine in India, especially French, has seen a steady increase, with a 25% year on year growth of imported French wine coming into India in the last 5 years, according to the trade body Sopexa. However, India’s import system is currently extremely complex. As well as a flat 150% tariff on imported wine, the federal government imposes an Extra Additional Duty (EAD) of 4% on imported wines.