In a milestone described as the “mother of all deals,” India and the European Union have officially signed the conclusion document for their Free Trade Agreement (FTA) on Tuesday.
The announcement was made at Hyderabad House following a high-level summit between Prime Minister Narendra Modi, European Commission President Ursula von der Leyen, and European Council President António Costa.
At a joint press conference with European Commission President Ursula von der Leyen and European Council President, Prime Minister Narendra Modi described the moment as historic, underlining the deepening partnership between India and the European Union.
PM Modi praised von der Leyen as a global role model, saying “Ursula is the first woman president and an inspiration for the world.” He also noted the symbolic significance of both European leaders participating in India’s Republic Day parade, calling it a historic gesture that reflected the strength of India-EU ties.
Referring to India and the EU as the world’s two largest democracies, Modi said both sides were now “adding a new chapter” to their relationship, marked by expanded cooperation and shared democratic values.
Highlighting the scale of engagement, the Prime Minister said bilateral trade between India and the EU has reached $180 billion, while over eight lakh Indians currently live and work across European nations. Cooperation, he said, now spans a wide spectrum — from strategic technologies and clean energy to digital governance, innovation, and people-centric initiatives.
“We have established cooperation in all fields,” Modi said, adding that both sides have taken concrete initiatives aimed at improving the lives of people from all walks of life.
Antonio Costa recalls his Goa connection
The President of the European Council, Antonio Costa, recalled his personal connection to India, saying he is an Indian citizen by origin and thanked India for inviting him to the Republic Day celebrations. He said he was proud of his roots in Goa, adding that India-EU ties are deeply personal for him.
He said the summit sends a strong message to the world—that India and the European Union stand together as strategic and reliable partners. “We are taking our partnership to the next level,” he said, stressing that both sides are working hand in hand to help shape a resilient global order.
Shared prosperity and security
Costa underlined that India and the EU must work together for shared prosperity and security, calling trade a crucial geopolitical stabiliser. He described the proposed India-EU free trade agreement as one of the most ambitious deals ever concluded, especially significant in a multipolar world.
“In a multipolar world, India and the EU are working for shared prosperity,” he said, adding a note of caution: “But prosperity does not exist without security.”
On defence and security cooperation, he said the partnership between India and the EU is taking its first concrete steps, sending an ambitious and clear signal of deeper engagement in the security domain.
Champions of multilateralism
Calling India and the EU champions of multilateralism, the European leader invoked Mahatma Gandhi, saying the summit reaffirmed a shared commitment to peace, respect for territorial integrity, and international law.
He said the EU supports all efforts aimed at achieving sustainable peace, adding, “We can count on you to help create the conditions for peace through dialogue and diplomacy.”
Green energy and climate cooperation
The European Council President also stressed the need for greater cooperation on green energy and climate resilience, saying India and the EU will align their priorities for the next five years.
He said both sides have already made tangible progress and shown global leadership on climate action, and that cooperation in this area will be a key pillar of the partnership going forward.
Ursula von der Leyen’s vision
European Commission President Ursula von der Leyen expressed gratitude for the warm welcome during her visit to India, calling it an honour to be the chief guest at Republic Day. “A memory I will carry for a lifetime,” she said.
She highlighted India’s growing global role, noting, “India has risen, and Europe is truly glad about it. When India succeeds, the world is more stable and prosperous.”
Von der Leyen stressed on the significance of the recently concluded free trade agreement between India and the EU. “We did it — we delivered the mother of all deals. We are creating a market of 2 billion people. Two giants choosing partnership in a true win-win fashion. Cooperation is the best way to tackle global challenges.”
She elaborated on its impact, saying the agreement will strengthen joint manufacturing power and create good jobs for millions in Europe and India. “It brings together Indian skills and services with European capital and innovation, creating growth that neither side can achieve alone,” she added.
Von der Leyen also thanked officials and praised Commerce Minister Piyush Goyal, noting, “Hard work was worth it.”
Security, innovation, and cooperation
On security, she said, “We are delivering security for our people in an insecure world. This is a landmark departure and trust-based cooperation. We will help build each other’s resilience.” She highlighted joint initiatives such as naval exercises to tackle piracy, dedicated dialogue on space and counter-terrorism, and EU-India commitment to being reliable partners.
On innovation and science, von der Leyen said, “We share core values. Freedom of research and science is paramount. EU and India will choose science, progress, and technology for the service of people.” Cooperation will be human-centric, citing AI and Horizon, the world’s largest research program between the two countries. Plans include India-EU innovation hubs and startup partnerships.
She emphasized the human dimension: “Our greatest wealth is our people.” A mobility pact will launch a legal gateway office in India, fostering economic ties, friendship, and openness.
As the 16th EU-India summit concluded, von der Leyen noted the timing was symbolic: India marked Makar Sankranti, the beginning of the sun’s northward journey. “This makes our summit unique and timely for fresh momentum, opening a new chapter in EU-India friendship.”
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