'Mother of all deals': India, EU reach understanding on Free Trade Agreement, announces PM Modi
The agreement will give a major boost to manufacturing, services and innovation, further strengthening India’s role in global supply chains
Prime Minister Narendra Modi on Tuesday announced that India and European Union had finally reached an understanding on the Free Trade Agreement (FTA), calling it a historic milestone, the “mother of all deals” and a powerful symbol of cooperation between two of the world’s largest economies.
"India-EU FTA is a remarkable example of coordination between two of the world’s largest economies," the PM said in his inaugural remarks at the fourth edition of India Energy Week which he inaugurated virtually.
Modi said the landmark agreement was expected to unlock vast opportunities for India’s 140 crore citizens as well as millions across Europe.
Together, India and the EU represent nearly 25 per cent of the global GDP and around one-third of global trade, making the pact one of the most significant trade partnerships in the world.
“This agreement is a perfect example of a partnership between two major democratic economies,” the Prime Minister said, adding that it also reinforced the shared commitment of India and Europe to democracy and the rule of law.
PM Modi highlighted that the India-EU FTA complemented the recently concluded India-UK trade deal and would give a major boost to manufacturing, services and innovation, further strengthening India’s role in global supply chains.
He added that the free trade agreement with the EU would complement the agreements with Britain and EFTA, thereby reinforcing both trade and global supply chains.
Emphasising that the energy sector was at the heart of growth, Modi highlighted India’s growing prominence in the global energy landscape.
“India Energy Week has emerged as a global platform for both dialogue and action, and India, as the world’s fastest-growing major economy, is witnessing continuously rising energy demand," Modi said.
Modi also announced that India’s energy sector offered investment opportunities worth USD 500 billion, driven by rapid reforms and expanding demand. He reiterated that India was “riding the reforms express”, with transformative changes under way across sectors.
Outlining the ambitious plans for the oil and gas sector, the Prime Minister said, "India is set to become the world’s largest oil refining hub, with refining capacity to be expanded from 260 million tonnes (MT) to 300 MT. The government is targeting USD 100 billion in investments in the oil and gas sector by the end of this decade."
Modi called India as the land of opportunities for the energy sector, adding that the country is well-positioned not only to meet its domestic energy needs but also to support global energy demand.
