New Delhi [India], January 27 (ANI): Prime Minister Narendra Modi on Tuesday hailed the India-EU Free Trade Agreement, reiterating it because the ‘Mother of all offers’ and the way it illustrates the partnership between two main economies of the world. The deal turns into vital because it hyperlinks two main economies that command 1 / 4 of the world’s GDP.
PM Modi made the remarks whereas just about addressing the Opening Ceremony of India Energy Week 2026.
He mentioned, ‘Yesterday, a serious settlement was signed between India and the European Union, broadly thought to be the ‘mom of all offers.’ This landmark deal presents vital alternatives for India’s 1.4 billion individuals and for hundreds of thousands throughout the EU. Together, these areas account for 25% of world GDP and one-third of world commerce. Beyond economics, the settlement additionally reaffirms our shared dedication to democracy and the rule of regulation.’
He added that the free commerce settlement with the EU will complement current agreements with the United Kingdom and members of the European Free Trade Association (EFTA).
Extending his congratulations to these related to totally different sectors, the Prime Minister mentioned the settlement could be extremely useful for business stakeholders. He added that the commerce deal would have a optimistic influence on each manufacturing and providers within the nation.
Emphasising the broader world influence, PM Modi mentioned the FTA would enhance world confidence in India. ‘This Free Trade Agreement will additional strengthen world confidence in India for companies and buyers the world over,’ he mentioned, including that India is actively engaged on world partnerships throughout all sectors.
‘Manufacturing will get an enormous enhance from this commerce take care of the EU, and the providers sector will even increase. The Free Trade Agreement will enhance the arrogance of each investor and businessman to spend money on India,’ the PM added.
The free commerce settlement between India and the EU, first initiated in 2007, is predicted to anchor a broader financial and strategic partnership as world commerce dynamics shift.
On Monday, the negotiations for the ‘Mother of all offers’, because it has been known as, concluded efficiently and will likely be introduced at this time through the India-EU summit.
Earlier at this time, India and the European Union additionally inked the safety and defence partnership right here within the nationwide capital.
European Union Vice President Kaja Kallas mentioned on the event, ‘The signing of the Security and Defence Partnership is a milestone, and we are able to construct on that. There is a lot extra we are able to work collectively on within the multilateral fora, in addition to bilaterally, to additional develop defence cooperation.’
The signing of the partnership will formally happen through the sixteenth India-EU Summit set to happen later at this time. The President of the European Council, Antonio Luis Santos da Costa, and the President of the European Commission, Ursula von der Leyen, are additionally on a State Visit to India and can co-chair the summit.
With the signing of the deal, India turns into the third Asian nation to have such a take care of the EU after Japan and South Korea. India and EU are set to formalise the ‘Mother of all offers’ on Tuesday.
The two companions collectively signify virtually one-fifth of world commerce and round 25 per cent of the worldwide inhabitants, highlighting the rising financial and strategic weight of the partnership, working to advertise financial prosperity, a rules-based worldwide order and sustainable growth. Trade and funding stay central pillars of this relationship.
At the EU-India summit scheduled for Tuesday, leaders from either side are anticipated to undertake a joint complete strategic agenda and talk about commerce within the context of the continuing free commerce settlement negotiations, which had been first launched in 2007 and relaunched in 2022 and concluded on Monday.
Speaking on the upcoming deal, European Commission President Ursula von der Leyen mentioned, ‘India and Europe have made a transparent alternative. The alternative of strategic partnership, dialogue and openness. Leveraging our complementary strengths. And constructing mutual resilience. We are exhibiting a fractured world that one other manner is feasible.
‘European Council President Antonio Costa echoed that thought saying, ‘India is an important associate for the EU. Together, we share the capability and duty to guard the rules-based worldwide order. ‘In commerce in items, the EU is India’s second-largest buying and selling associate, proper after China and forward of the United States, accounting for 11.5 per cent of India’s complete items commerce.
As per the official knowledge, in 2024, EU-India commerce in items was valued at over Euro 120 billion. This included Euro 71.4 billion value of EU imports from India and Euro 48.8 billion in EU exports to India.
Over the final decade, bilateral commerce in items has doubled. During this era, EU imports from India grew by 140 per cent, whereas EU exports to India elevated by 58 per cent, exhibiting the regular enlargement of economic ties.
The essential items exported by the EU to India embrace equipment and home equipment, transport gear and chemical substances. On the opposite hand, the EU primarily imports equipment and home equipment, chemical substances and fuels from India.
Trade in providers has additionally seen sturdy progress. In 2024, EU-India commerce in providers was value over Euro 66 billion, with greater than Euro 37 billion in EU imports and round Euro 29 billion in EU exports. Over the previous decade, commerce in providers between the 2 sides has greater than doubled, recording a progress of 243 per cent.
Key providers traded between India and the EU embrace telecommunications, laptop and data providers, different enterprise providers corresponding to skilled and administration consulting, and transport providers.
Foreign direct funding (FDI) additional displays the depth of the connection. In 2024, the EU’s overseas direct investments in India had been valued at over Euro 132 billion, making the EU the main investor within the nation. (ANI)