In a landmark development for global trade, India and the European Union (EU) have successfully concluded negotiations for a comprehensive Free Trade Agreement (FTA). Commerce Secretary Rajesh Agrawal confirmed the news in New Delhi on Monday, marking the end of nearly 18 years of complex discussions. Often referred to by Commerce Minister Piyush Goyal as the “Mother of all Agreements,” the deal is set to be formally announced on Tuesday, following the high-profile participation of EU leaders in India’s 77th Republic Day celebrations.
The agreement is described as a balanced, future-oriented pact that aims to significantly deepen economic and strategic ties. While the deal is currently undergoing legal vetting, officials expect it to be signed later this year and potentially come into force by early 2027. Minister Piyush Goyal emphasized that both parties are dedicated to a “mutually beneficial” outcome that will enhance growth and prosperity for businesses and citizens on both sides, solidifying the EU’s role as a vital economic partner for India.
The timing of the conclusion coincides with the 16th India-EU Summit and the visit of European Commission President Ursula von der Leyen and European Council President Antonio Costa to New Delhi. Prime Minister Narendra Modi hailed the visit as a testament to the “expanding strength” of the partnership. Beyond traditional trade, the FTA is expected to address modern economic challenges and streamline the “Speed of Doing Business,” aligning with India’s long-term “Viksit Bharat” goals and the 2047 Swarnandhra Vision at the state level.
