{"id":748,"date":"2026-01-27T12:38:32","date_gmt":"2026-01-27T12:38:32","guid":{"rendered":"https:\/\/www.worldwatchalert.com\/?p=748"},"modified":"2026-01-27T12:38:33","modified_gmt":"2026-01-27T12:38:33","slug":"india-eu-finalize-historic-free-trade-agreement-after-20-years","status":"publish","type":"post","link":"https:\/\/www.worldwatchalert.com\/?p=748","title":{"rendered":"India, EU Finalize Historic Free Trade Agreement After 20 Years"},"content":{"rendered":"\n<p><strong>NEW DELHI<\/strong>: India and the European Union on Tuesday announced the conclusion of a landmark free trade agreement aimed at creating one of the world\u2019s largest markets, covering nearly two billion people, after almost two decades of negotiations.<\/p>\n\n\n\n<p>Prime Minister Narendra Modi and European Commission President Ursula von der Leyen, along with European Council President Antonio Costa, described the accord as historic and transformative for both sides.<\/p>\n\n\n\n<p>Addressing a joint event in New Delhi, Prime Minister Modi termed it the \u201cmother of all deals,\u201d saying the agreement would unlock vast economic opportunities for India\u2019s 1.4 billion people and millions across the European Union.<\/p>\n\n\n\n<p>According to EU officials, the agreement will eliminate or significantly reduce tariffs on about 97 percent of European exports, resulting in savings of nearly \u20ac4 billion annually. The pact is expected to provide European companies with unprecedented access to the traditionally protected Indian market.<\/p>\n\n\n\n<p>European leaders said the deal marked the most ambitious trade agreement India has ever signed, benefiting major sectors including agriculture, automotive manufacturing and services.<\/p>\n\n\n\n<p>Von der Leyen said the EU expected its exports to India to double in the coming years, adding that the bloc would gain its highest level of market access ever granted by New Delhi.<\/p>\n\n\n\n<p>Bilateral trade in goods stood at \u20ac120 billion in 2024, with an additional \u20ac60 billion in services, reflecting strong growth over the past decade.<\/p>\n\n\n\n<p>Under the agreement, India will gradually reduce tariffs on European automobiles from up to 110 percent to as low as 10 percent, while duties on wines will be lowered from 150 percent to around 20 percent. Tariffs on processed foods, including pasta and chocolate, are also set to be eliminated.<\/p>\n\n\n\n<p>India is expected to gain improved access for key exports such as textiles, gems and jewellery, leather goods and service-based industries.<\/p>\n\n\n\n<p>Negotiations reportedly went down to the final hours, with discussions focusing on issues such as the EU\u2019s carbon border tax and its impact on Indian steel exports.<\/p>\n\n\n\n<p>The agreement comes as both sides seek to diversify trade ties amid global economic uncertainty, rising US tariffs and shifting supply chains.<\/p>\n\n\n\n<p>India and the EU are also expected to finalize agreements on labour mobility and enhanced cooperation in security and defence sectors.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>NEW DELHI: India and the European Union on Tuesday announced the conclusion of a landmark free trade agreement aimed at creating one of the world\u2019s largest markets, covering nearly two&hellip; <\/p>\n","protected":false},"author":1,"featured_media":749,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[661,662,665,663,664],"class_list":["post-748","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-world","tag-european-union-economy","tag-free-trade-agreement","tag-global-trade","tag-india-eu-trade-deal","tag-narendra-modi"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - 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