India-EU FTA Expected To Be Signed By Mid-December, Take Effect By Mid-2027: McAllister

New Delhi, Oct 30 (KNN) The India-European Union Free Trade Agreement (FTA) is expected to be signed by mid-December 2026, with Prime Minister Narendra Modi likely to visit Brussels for the official signing ceremony, European Parliament Foreign Affairs Committee Chair David McAllister has said.

The agreement is expected to undergo scrutiny by the European Parliament, with a consent vote likely by spring 2027. If approved, it could formally enter into force by mid-2027, McAllister said, expressing confidence that the deal would receive broad parliamentary support.

“We expect the FTA to be signed by mid-December. Hopefully, PM Modi will manage to visit Brussels and attend the official signing ceremony,” McAllister told The Times of India.

European Parliament Consent Expected By Spring 2027

McAllister said that although the European Parliament cannot amend the text of the agreement, its consent is necessary before the FTA can enter into force.

“Though Parliament cannot amend the text of the agreement, our consent is required before it enters into force. I followed the debate in the European Parliament over the past months, and I can say there seems to be a broad majority support for this landmark FTA,” he said.

Describing the agreement as the ‘mother of all deals’, he expressed confidence that its expected benefits for both sides would secure parliamentary approval.

If the agreement is ready for signing by mid-December, Modi could visit Brussels on his return to India from the US G20 Summit. The Prime Minister is also expected to travel to Canada and possibly Germany during the trip.

Investment Protection Pact To Boost Investor Confidence

McAllister said the EU would particularly welcome progress on the investment protection agreement, which could strengthen European investors' confidence in the Indian market, encourage greater investment and contribute to job creation in India.

He added that the FTA would enable India and the EU to work more closely on de-risking supply chains and reducing economic dependencies.

India-EU Defence Cooperation To Expand

McAllister called for closer India-EU defence cooperation, identifying information sharing, joint research and cybersecurity as key areas, alongside greater Indian participation in Europe’s defence industrial ecosystem.

He also highlighted shared interests in maintaining a free and open Indo-Pacific and reducing dependence on individual countries for strategic requirements, describing this as a mutually beneficial opportunity for both sides.

(KNN Bureau)