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European Union on verge of sealing historic trade agreement with India: Leyen
Jan-21-2026

European Commission President Ursula von der Leyen has said that European Union (EU) is on the verge of sealing a historic trade agreement with India that is being called 'the mother of all deals'. Leyen asserted it will create a market for 2 billion people or about one-fourth of the global GDP.

She said the real would crucially provide a first-mover advantage for Europe with one of the world's fastest-growing and most dynamic continents. She stated ‘From Latin America to the Indo-Pacific and far beyond, Europe will always choose the world. And the world is ready to choose Europe.’

President of the European Council, Antonio Costa and Leyen will be in India from January 25 to 27 to grace the Republic Day celebrations as chief guests and hold summit talks with Prime Minister Narendra Modi. The two sides are set to announce the conclusion of negotiations on the much-awaited Free Trade Agreement at the India-EU summit on January 27, 2026.

The European Union is India’s largest trade partner, with bilateral trade in goods reaching $135 billion in the 2023-24 financial year. The free trade agreement is expected to significantly enhance trade ties. India and the European Union have been strategic partners since 2004.

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