India and EU finalise historic Free Trade Agreement
After nearly 20 years of negotiations, India and the European Union concluded a landmark Free Trade Agreement on January 27, 2026, aiming to liberalise trade and boost economic cooperation.
aaravi_editor
India and the European Union formalised a long-awaited Free Trade Agreement (FTA) on January 27, 2026, following almost two decades of negotiations. The deal — described as the “mother of all deals” by senior officials — aims to eliminate or significantly reduce tariffs on a vast majority of traded goods, increase market access, and promote service and regulatory cooperation between the two economies.
Negotiators from both sides highlighted that the FTA covers not only goods and services but also investment, digital trade, sustainability standards and regulatory alignment. If ratified by all EU member states and India, the pact could expand bilateral trade and strengthen long-term economic and strategic ties.
Officials on both sides also emphasised that the deal could attract investment, enhance supply-chain integration, and offer consumers a wider choice of products at competitive prices. The FTA is expected to take effect once domestic ratification processes are completed.
