India–EU ‘Mother of All Deals’: Historic Trade Pact Nears Final Approval

 

After years of slow progress and stalled discussions, India and the European Union are now standing at the edge of what many leaders are calling the “Mother of All Trade Deals.” This long-awaited free trade agreement, under negotiation for nearly two decades, is finally moving toward completion and could soon be officially announced during a high-level India-EU summit in New Delhi. The deal is being described as historic not just because of its size, but because of its potential to reshape global trade dynamics at a time of economic uncertainty.

Top European leaders, including the President of the European Commission, have arrived in India with a large delegation, signaling how serious both sides are about closing the agreement. If finalized, the pact would connect two massive markets, together representing almost two billion consumers and a significant share of the world’s total economic output. This scale alone explains why policymakers are using such dramatic language to describe it.

One of the most closely watched aspects of the agreement is the proposed reduction in import duties, especially on European automobiles, luxury goods, and industrial products. India currently imposes very high tariffs in some sectors, and easing these could bring more competition, advanced technology, and global brands into the domestic market. In return, Indian exporters are expected to gain improved access to European markets for products like textiles, pharmaceuticals, chemicals, and IT services.

Beyond trade numbers, the agreement also focuses on deeper cooperation in areas such as clean energy, digital innovation, supply chains, and investment protection. While a few sensitive issues remain unresolved, the political momentum suggests both sides are willing to compromise. Economists believe this deal could strengthen India’s global position, boost manufacturing, and offer Europe a strong strategic partner in Asia. If signed, the “Mother of All Deals” may mark a turning point in international trade relations.