EU-India trade deal dubbed 'mother of all deals' stirs Davos chatter
EU-India trade deal dubbed 'mother of all deals' stirs Davos chatter
EU leader calls the India-EU Free Trade Agreement the 'mother of all deals' as talks heat up in Davos, signaling a major shift for global trade and security.
At the World Economic Forum in Davos, European Commission President Ursula von der Leyen described the India-EU Free Trade Agreement as the 'mother of all deals,' underscoring the scale of what negotiators hope to achieve. She hinted that the talks are accelerating, with a defence framework pact and a strategic agenda expected to be unveiled at the January 25-27 summit, signaling that trade and security are moving in tandem.
India and the European Union are already major partners, with bilateral trade in goods reaching about $135 billion in fiscal year 2023-24. The FTA negotiations, launched in 2007, paused in 2013 due to differences in ambition, and were relaunched in June 2022. In a global environment reshaped by shifting U.S. trade policies, both sides are pushing for deeper market access and stronger investment ties to secure a more balanced and resilient partnership.
Von der Leyen claimed a combined EU-India market could account for roughly a quarter of global GDP, underscoring the strategic stakes beyond tariff reductions. The dialogue is framed not just around commerce but also around security and supply chains, with a potential defence pact on the agenda at the Davos gathering. Analysts see the push as timely, aiming to translate political will into concrete terms before the January summit.
As leaders campaign for tangible outcomes, observers will be watching to see if the 'mother of all deals' label translates into a comprehensive agreement that can withstand protectionist pressures and deliver real benefits for workers and businesses on both sides.
