The European Union and India have concluded negotiations on a comprehensive free trade agreement — the largest such deal ever struck by either side. The FTA covers goods, services, investment, intellectual property, and digital trade provisions, marking a major milestone after years of intermittent and often stalled negotiations.
The deal is strategically significant for the EU as it seeks to diversify supply chains away from China. India, with its 1.4 billion consumers and rapidly growing economy, represents the kind of large-scale alternative partner that Brussels has been cultivating through its broader trade diversification agenda — which has also produced deals with Mexico, Indonesia, and the Mercosur bloc in recent years.
For India, the agreement opens preferential access to the EU's single market of over 450 million consumers and is expected to boost exports in textiles, agriculture, IT services, and pharmaceuticals. The full text and ratification timeline have not yet been published. Ratification will require approval by the European Parliament and EU member states.