Ursula von der Leyen calls India–EU FTA the 'mother of all deals'

"And right after Davos, the next weekend, I will travel to India. There is still work to do, but we are on the cusp of a historic trade agreement," she said, adding that "some call it the mother of all deals."

As the EU is committed to de-risking its economy and diversifying supply chains by deepening ties with the world's major growth centres, she saw the planned India-EU free trade agreement (FTA) as part of Europe's broader strategy to champion "fair trade over tariffs, partnership over isolation, sustainability over exploitation".

The FTA would create a combined market of around two billion people and account for nearly a quarter of global gross domestic product (GDP), giving European companies a crucial first-mover advantage in one of the world's fastest-growing regions, she said.

"Europe wants to do business with the growth centres of today and the economic powerhouses of this century, from Latin America to the Indo-Pacific and far beyond," she said.

A recent statement by India's Ministry of External Affairs said European Council President Antonio Luis Santos da Costa and von der Leyen will be on a state visit to India from January 25 to 27. The two will be the chief guests at India's 77th Republic Day celebrations. The European leaders will also co-chair the 16th India-EU Summit with Prime Minister Modi on January 27.

Negotiations for the planned FTA first began in 2007, and abandoned in 2013. Talks were re-launched in July 2022.

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