India, EU Conclude Landmark Free Trade Agreement At 16th Summit

India and the European Union on Tuesday announced the conclusion of the long-awaited India–EU Free Trade Agreement (FTA) at the 16th India-EU Summit, marking a historic milestone in bilateral economic ties. The announcement was made jointly by Prime Minister Narendra Modi, European Commission President Ursula von der Leyen, and European Council President Antonio Costa during the visit of senior EU leaders to India.

The FTA documents were formally exchanged between  Maros SefEU Trade Commissionercovic and Union Commerce Minister Piyush Goyal. The agreement comes after sustained negotiations since talks were re-launched in 2022, reflecting strong political commitment on both sides.

The European Union is one of India’s largest trading partners. In 2024–25, bilateral trade in goods stood at USD 136.54 billion, while trade in services touched USD 83.10 billion. Together, India and the EU account for nearly 25 percent of global GDP.

The FTA provides duty-free access to over 99 percent of Indian exports to the EU by trade value, significantly boosting labour-intensive sectors such as textiles, leather, gems and jewellery, engineering goods, and automobiles. It also unlocks high-value commitments in services, mobility of professionals, digital trade, and emerging technologies.

Commerce Minister Piyush Goyal termed the pact a defining achievement, saying it strengthens India’s global economic engagement and supports the vision of Viksit Bharat 2047.