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India-EU Joint Statement: Trade between 2 billion people, millions of jobs, big benefits revealed after the deal

by Rajiv Mishra
January 27, 2026
in Business
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India-EU Joint Statement: Trade between 2 billion people, millions of jobs, big benefits revealed after the deal
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India and the European Union (EU) agreed to a Free Trade Agreement (FTA) and several strategic agreements during the 16th India-European Union (EU) Summit. Meanwhile, European Council President Antonio Costa and European Commission President Ursula von der Leyen were the chief guests at India’s Republic Day celebrations.

EU leader as chief guest for the first time on Republic Day
The visit of Costa and von der Leyen is being seen as a symbol of growing closeness and partnership in India-EU relations. The two leaders were welcomed by President Draupadi Murmu and participated in the parade, where they greeted the India-EU military contingent.

Discussion in the 16th India-EU Summit
At the summit, Prime Minister Modi, Costa and von der Leyen stressed on strengthening shared values ​​such as democracy, human rights, rule of law and the rules-based international order. They also agreed on tackling security threats, achieving the Sustainable Development Goals and climate and biodiversity action.

promoting trade and investment
The leaders welcomed the successful conclusion of the India-EU Free Trade Agreement. This agreement will boost trade and investment, strengthen supply chains and bring prosperity to both sides. The two leaders called for increased private investment at the trade forum and new cooperation in industrial sectors. Importantly, it is expected to create millions of jobs and business opportunities for approximately 20 million people.

Security, Defense and Technical Cooperation
An India-EU security and defense partnership was also agreed upon, covering cyber security, counter-terrorism, space security and maritime security. To enhance cooperation in the technology sector, emphasis was laid on strengthening the EU-India Trade and Technology Council and enhancing partnerships in AI, quantum computing, 6G and digital infrastructure.

Regional and global cooperation
The leaders agreed to pursue reforms in the United Nations and the World Trade Organization (WTO), ensure a peaceful and open environment in the Indo-Pacific region, and enhance cooperation on global security issues. Emphasized the need for dialogue and diplomacy to resolve international crises, including Ukraine and Iran.

Education and people-to-people relations
It was announced to launch India-EU Movement and Education Dialogue to enhance cooperation in the areas of education, skill development and mobility. A commitment was made to strengthen cooperation in higher education and vocational training.

Climate, Energy and Sustainable Development
EU-India Green Hydrogen Task Force and Wind Business Summit announced to boost cooperation on climate change and clean energy. Joint initiatives in areas such as oceans and fisheries, water security and biodiversity were also agreed upon.

Upcoming Summit and AI Summit
The leaders welcomed the AI ​​Impact Summit to be held in India on 19-20 February, 2026 and invited Prime Minister Modi to Brussels for the 17th India-EU Summit. The summit is being considered a major step towards taking India-EU relations to the next level and strengthening cooperation in areas such as free trade, security, technology, education and climate.

Tags: Big benefits emerged after the dealIndia-EU Joint Statement: Trade between 2 billion peoplemillions of jobs

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