India–EU Trade Deal Almost Done, Set To Create Market Of 2 Bn People: EU Commission President

New Delhi, Jan 21 (KNN) The European Union (EU) is close to finalising a landmark free trade agreement (FTA) with India that could create a market encompassing nearly 2 billion people and around one-fourth of global GDP, European Commission President Ursula von der Leyen said on Tuesday.

Speaking at a special address at the World Economic Forum (WEF) Annual Meeting in Davos, Leyen described the proposed pact as a potential ‘mother of all deals’, highlighting its strategic and economic significance for Europe. 

“Right after Davos, I will travel to India. There is still work to do, but we are on the cusp of a historic trade agreement,” she said, adding that Europe aims to deepen ties with today’s growth centres and the economic powerhouses of this century, reported PTI.

High-Level Visit and Expected Announcement

European Council President Antonio Costa and von der Leyen will visit India from January 25 to 27 to attend the Republic Day celebrations as chief guests and hold summit-level talks with Prime Minister Narendra Modi. 

The two sides are expected to announce the conclusion of negotiations on the long-pending India–EU Free Trade Agreement at the summit on January 27.

Beyond Trade: Defence and Strategic Cooperation

In addition to the FTA, India and the EU are likely to unveil a defence framework agreement and a broader strategic agenda at the summit. The two sides are also expected to announce a joint comprehensive strategic vision for 2026–2030.

Negotiations are underway on a proposed Security and Defence Partnership, aimed at strengthening defence cooperation and interoperability. 

The partnership could open opportunities for Indian companies to participate in the EU’s SAFE programme, a EUR 150 billion financial instrument to accelerate defence readiness.

The summit is also expected to mark the launch of talks on a Security of Information Agreement, which would facilitate deeper industrial and defence collaboration.

(KNN Bureau)