India and EU set to sign major free trade deal on January 27
India and the European Union (EU) are about to announce a big free trade agreement at their summit in New Delhi on January 27, 2026.
After nearly a decade-long pause, talks restarted in 2022, aiming to cut tariffs on things like European cars and wine while opening up more EU markets for Indian electronics, textiles, and chemicals.
Why should you care?
This deal is being called the "mother of all deals"—it'll connect two billion people and offer access to a market that accounts for roughly one-quarter of the global population.
It's expected to give a real boost to India-EU trade (which already hit $136.5 billion last year), especially for Indian textiles, garments, and leather goods that could get easier access in Europe.
Agriculture and dairy are likely left out for now.
One thing to watch: newly introduced EU carbon levies might make it tougher for some Indian exports like steel or cement.