India, EU looking at sealing FTA this year: Von der Leyen

A free trade agreement between the EU and India would be the largest deal of its kind anywhere in the world and both sides are looking at firming it up by this year, European Commission president Ursula von der Leyen said on Friday.

In an address at a think-tank, the top leader of the 27-nation bloc also said that the EU is exploring a future security and defence pact with India in line with its partnerships with Japan and South Korea.

Von der Leyen’s comments came ahead of her wide-ranging talks with Prime Minister Narendra Modi.

“This world is fraught with danger. But I believe this modern version of great power competition is an opportunity for Europe and India to reimagine their partnership,” she said.

“In many ways, the EU and India are uniquely placed to respond to this challenge together,” she added.

Von der Leyen said it is time to take the EU-India strategic partnership to next level.

“This is not a time to place limits on our cooperation. Or to get stuck looking for agreement on every issue of regional or global concern,” she said.

“It is time to be pragmatic and ambitious. And to realign our priorities for today’s realities,” she said.

The European Commission president said cooperation in trade and technology, security and defence and connectivity and global partnership can take EU-India partnership to next level.

On the free trade agreement, Von der Leyen said she has full commitment for it.

“A free trade agreement between the EU and India would be the largest deal of this kind anywhere in the world. I am well aware it will not be easy.”

“But I also know that timing and determination counts, and that this partnership comes at the right moment for both of us,” she said.

“This is why we have agreed with Prime Minister Modi to push to get it done during this year. And you can count on my full commitment to make sure we can deliver,” Von der Leyen said.

On connectivity, the European Commission president said the India-Middle East-Europe corridor can be a modern golden road directly connecting India, Arabian Gulf and Europe.

“I believe 2025 is a historic window of opportunity to build an indivisible partnership between Europe and India”, she said.