India-EU Economic Partnership Enters New Phase With Historic FTA

Prime Minister Narendra Modi and European Union leaders on Tuesday hailed the successful conclusion of negotiations on the landmark India-EU Free Trade Agreement. They described the deal as a major step forward in bilateral relations.

European Council President Antonio Costa joined Prime Minister Narendra Modi at the 16th India-EU Summit.

European Commission President Ursula von der Leyen also participated in the summit alongside him.

The three leaders co-chaired the meeting and issued a joint statement. They said the agreement marked a milestone in the India–EU Strategic Partnership.

The leaders stated that the pact would significantly boost bilateral trade and investment.

They said it would promote shared prosperity, strengthen diversified supply chains, and support sustainable and inclusive economic growth.

They underlined the importance of the World Trade Organisation in global trade governance.

The leaders stressed the urgent need for meaningful and comprehensive reforms of the World Trade Organisation.

They said these changes must ensure the WTO meets the needs of all its members.

Against the backdrop of global uncertainty, the leaders said closer economic engagement between India and the EU had become more critical than ever.

They noted that stronger ties would support growth, job creation, green transition, and industrial development.

Both sides are committed to ensuring full implementation of the FTA. They instructed their negotiating teams to conclude talks on an Investment Protection Agreement and an Agreement on Geographical Indications at the earliest.

The leaders also agreed to scale up bilateral investments and advance discussions on Blue Valleys to strengthen key value chains.

Highlighting complementary strengths in technology, the statement said India and the EU would deepen cooperation across the entire innovation value chain.

They reaffirmed the India-EU Trade and Technology Council as the cornerstone of their technology partnership.

Both sides also pledged to expand collaboration on Digital Public Infrastructure.

The leaders announced plans to strengthen cooperation in emerging technologies, research, and innovation.

They welcomed the renewal of the India–EU Scientific and Technological Cooperation Agreement until 2030 and agreed to explore India’s association with Horizon Europe.

They also committed to faster cooperation on clean energy and climate action. The leaders welcomed the creation of an India-EU Green Hydrogen Task Force and the announcement of an India-EU Wind Business Summit in 2026.

The two sides agreed to enhance regional connectivity through joint projects under the India-EU Connectivity Partnership.

They welcomed progress on the India-Middle East-Europe Economic Corridor and announced cooperation in aviation and maritime transport.

The leaders also addressed the India-EU Business Forum. They urged industry leaders to make ambitious investments and deepen trade and investment ties across critical sectors.

Also Read: PM Modi Announces Expansion Of India–EU Trilateral Projects Beyond Indo-Pacific