EU Chief Calls India-EU Trade Pact “Mother of All Deals” at Davos

In a landmark statement at the World Economic Forum in Davos, European Commission President Ursula von der Leyen declared that the European Union and India are on the cusp of a historic trade agreement. The long-awaited free trade pact, described as the “mother of all deals,” is expected to reshape global trade dynamics.

Von der Leyen emphasized that while negotiations are still ongoing, the agreement would create a market of 2 billion people, accounting for almost 25% of global GDP. The announcement comes ahead of her scheduled visit to India later this month, where she will attend the India-EU Summit on January 27, 2026, alongside European Council President Antonio Costa.

Key Highlights:

• Historic Pact: India-EU free trade agreement nearing conclusion.
• Scale: Market of 2 billion people, nearly one-fourth of global GDP.
• Event: Announcement made at World Economic Forum, Davos.
• Next Steps: Ursula von der Leyen and Antonio Costa to visit India (Jan 25–27).
• Strategic Impact: Strengthens EU-India ties, diversifies trade partnerships, reduces reliance on US markets.

This deal is poised to be one of the most significant trade agreements globally, enhancing India’s role in international commerce while offering the EU a strategic partner in Asia.

Sources: Mathrubhumi, Hans India, Livemint, Indian Express, The Hindu, New Indian Express