India-EU FTA: New Delhi, Brussels to launch joint connectivity projects, set up aviation dialogue

India-EU FTA: India and the European Union, in their statement during the announcement of the India-EU free trade agreement (FTA), said that both sides will work together to launch joint connectivity projects as well as set up a regular aviation dialogue.

“The two sides will work together to improve regional connectivity, upholding high standards while unlocking new commercial opportunities for EU and Indian businesses. The leaders underlined the launch of joint projects under the India‑EU Connectivity Partnership supported by Global Gateway and India’s MAHASAGAR, the setting up of a regular Aviation Dialogue, and cooperation in the maritime transport sector,” said the statement released by the Ministry of External Affairs. 

Jürgen Westermeier, President and Managing Director for India and South Asia at Airbus and President of the Federation of European Business in India, called the India-EU FTA “a big moment after 20 years” of talking about future opportunities when the two sides would have a balanced free trade agreement. “I am really happy that today the negotiations are closed and Europe and India are two big democracies...This free trade agreement will be an accelerator for a lot of opportunities on both sides,” he said.

Welcoming the India‑Middle East‑Europe Economic Corridor (IMEC), the two sides said they will implement trilateral cooperation projects under the India‑EU Administrative Arrangement on Trilateral Cooperation, in areas such as energy, climate resilience, green mobility, and digitalisation.

INDIA-EU FTA

The trade deal between India and the EU comes at a time of fractious global environment and trade disruptions. "This is not just a trade agreement. This is a new blueprint for shared prosperity," said Prime Minister Narendra Modi after his summit talks with EU President Ursula von der Leyen and European Council President Antonio Costa. 

"Trade agreements reinforce a rules-based economic order and promote shared prosperity. That's why today's free trade agreement is of historic importance. It is one of the most ambitious agreements ever concluded," said Costa.

"We delivered the mother of all deals," Von der Leyen said.