India on Tuesday signed its largest free trade agreement to date with the 27-nation European Union, marking a historic expansion of ties between the world’s two largest democratic blocs. Alongside the landmark FTA, India and the EU also inked agreements on security and defence cooperation and a comprehensive framework for mobility, significantly broadening the scope of their strategic partnership.
Historic Moment In India–EU Relations
Addressing a joint press conference with European Commission President Ursula von der Leyen and European Council President António Costa, Prime Minister Narendra Modi described the developments as a defining chapter in bilateral relations.
“Today is another historic occasion, when the world’s two largest democratic powers are adding a decisive chapter to their relationship. Over the past few years, India and the European Union have made remarkable progress in their ties. Based on shared democratic values, economic synergy, and strong people-to-people ties, our partnership is reaching new heights. Today, trade between us stands at 180 billion euros,” PM Modi said.
The Prime Minister underlined that the agreements signed go beyond commerce, reflecting deeper convergence in values, security interests and long-term economic vision.
Leaders’ Visit & Symbolism
Welcoming the visiting EU leaders, Modi highlighted the symbolic and personal dimensions of the visit. “It is a pleasure to welcome my two close friends, President Costa and President von der Leyen, on this unprecedented visit to India. Mr. Costa is known as the ‘Gandhi of Lisbon’ for his simple lifestyle and his love for society. And Ursula Von Der Leyen is not only Germany’s first woman Defence Minister, but has also become the first woman President of the European Union Commission, setting an example for the entire world,” he said.
He also recalled the significance of the EU leaders’ participation in national celebrations, adding, “Yesterday was a historic moment when, for the first time, European Union leaders participated as Chief Guests in India’s Republic Day celebrations. Today is another historic occasion.”
Biggest Free Trade Agreement In India’s History
Highlighting the scale of the deal, PM Modi said the agreement represents a major economic milestone for the country. “Today, India has concluded the biggest Free Trade Agreement in its history. On 27th January, India signed this FTA with 27 European nations…This will boost investment, form new innovation partnerships and strengthen supply chains at the global level…This is not just a trade agreement, it is a blueprint for shared prosperity.”
The FTA is expected to enhance market access, attract fresh investments, encourage innovation-led collaborations, and improve the resilience of global supply chains. The accompanying security, defence and mobility agreements further reinforce India–EU cooperation in an increasingly complex global environment.
Together, the agreements signal a shift towards a more comprehensive and future-oriented partnership, positioning India and the European Union as key partners in shaping global economic and strategic stability.
