India-EU Seal 'Mother of All Deals' After Decade of Talks: Huge Benefits Expected

• India and the European Union have finalized a Free Trade Agreement (FTA) after nearly two decades of intermittent negotiations, dubbed the "Mother of All Deals."
• The agreement aims to boost trade, reduce costs, and establish India as a global manufacturing and export hub, with both economies accounting for 25% of the world's economy.
• Key outcomes include India reducing import duties on European products, especially luxury cars (up to 40% reduction from 100%+), and the EU providing better market access for Indian textiles, chemicals, pharmaceuticals, and electronics.
• Negotiations, which stalled for 9 years, resumed in 2022 due to both sides' need to diversify economies and trade relationships, with PM Modi and Ursula von der Leyen accelerating talks.
• The deal protects India's domestic mass-market and budget EV manufacturers, while opening doors for European luxury car brands like BMW, Mercedes-Benz, and Audi to increase investment.

Why It Matters: India and the EU have concluded a landmark FTA, promising significant economic growth and trade diversification for both.