The European Union is close to signing a free trade agreement with India, European Commission President Ursula von der Leyen said. She called it “the mother of all deals.” The agreement would create a market of two billion people, representing nearly a quarter of global GDP.
Von der Leyen noted that while progress is significant, “there is still work to do” before the deal is finalized. She emphasized the EU’s goal to diversify trade and strengthen economic ties with India. The deal is expected to cover goods, services, and investment protections.
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The European Commission president will visit India early next week to advance negotiations. Indian officials said discussions on tariffs, market access, and regulatory alignment remain key priorities. Both sides aim to conclude the deal swiftly to boost bilateral trade.
Analysts say the agreement could reshape global trade, giving the EU access to India’s fast-growing consumer market. It may also strengthen supply chains and reduce dependence on other major economies. Businesses in technology, pharmaceuticals, and manufacturing are expected to benefit the most.
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Negotiators are working to finalize the remaining details before von der Leyen’s visit. Observers describe the potential pact as historic for both sides, marking a new era in EU-India economic relations.