India and the European Union appear to be at a decisive stage in their long-running trade negotiations, with both sides indicating that talks on a Free Trade Agreement (FTA) are nearing completion. After years of slow progress, the agreement is now expected to be announced during the upcoming India–EU summit in New Delhi.
The renewed momentum comes at a time of heightened global trade uncertainty, with supply chains under strain and exporters facing higher tariffs in several major markets. For India, the FTA could provide much-needed relief to exporters impacted by trade barriers in the United States and elsewhere. For the European Union, the deal offers deeper access to one of the world’s fastest-growing major economies.
Senior EU officials have described the proposed agreement as one of the largest and most complex trade deals the bloc has ever pursued, with European Commission President Ursula von der Leyen referring to it as the “mother of all deals”. The phrase reflects the scale of the economies involved and the wide range of sectors covered by the pact.
Trade negotiations are unfolding alongside a broader effort to strengthen strategic cooperation. India and the EU are also expected to finalise a Security and Defence Partnership, building on closer collaboration in areas such as maritime security and joint missions. This shift was highlighted during the February visit of the EU’s College of Commissioners to India, which resulted in a Leaders’ Statement committing both sides to deeper security engagement.
During her visit to India, von der Leyen said the presence of EU military representatives and maritime missions at India’s Republic Day celebrations symbolised the growing trust between the two partners. Along with European Council President Antonio Costa, she attended the Republic Day parade as chief guest, underlining the political importance of the relationship.
EU Trade Commissioner Maros Sefcovic has said the two sides are very close to finalising the FTA, with final documents being reviewed and key numbers exchanged. Along with the trade deal and security partnership, India and the EU are expected to adopt a new Joint Strategic Agenda to guide cooperation in trade, defence and global governance in the years ahead.
