New Delhi, 27 January. Union Commerce Minister Piyush Goyal has congratulated India’s 1.4 billion people on the India-European Union (EU) Free Trade Agreement (FTA). He also described the visit of European Council President Antonio Costa and European Commission President Ursula von der Leyen to India as extraordinary.

Addressing the media, Piyush Goyal said, ‘This is much more than just a free trade agreement. This is far beyond the huge potential that is being unlocked through this FTA. “This is indeed a clear statement of the deep partnership and strategic intent between India and the EU, where both sides are coming together to strengthen their partnership across multiple sectors, working together for shared prosperity and a better future for one-third of humanity (India and the 27 countries of the European Union together will have a population of about 280 crores).”

This visit of Antonio Costa and Ursula von der Leyen will prove to be a game-changer.

Piyush Goyal said, ‘It is also a reflection of the fact that when countries and regions accounting for about 25 per cent of global trade decide to strengthen their strategic partnerships, including free trade agreements, it opens the door to defense cooperation, greater investment, collaboration in innovation and science and greater integration of financial markets. Therefore, I would call this visit of Antonio Costa and Ursula von der Leyen a game-changer and transformational visit in terms of the strategic partnership between the EU and India.

EU market will open huge opportunities for India’s 1.4 billion people

Goyal said that India and EU will come together in many areas and work for a better future. This visit will prove to be a game-changer in the strategic partnership between India and EU. The agreement is a strategic achievement in the country’s global trade partnership, opening up vast opportunities in the $20 trillion EU market for 1.4 billion people.

The Commerce Minister described it as a ‘difficult journey’ and said that it is much bigger than FTA. This is very beneficial for India. Especially labor-intensive sectors like textiles, agriculture and MSMEs will get easier access to the European market.

One third of the world’s population will benefit

Piyush Goyal said, ‘This agreement is not limited to trade only. This is a sign of the strong partnership between the two sides, which account for 25 percent of global trade. This will increase defense cooperation. A lot of investment will come. Cooperation in innovation and science will increase. There will be further integration in financial markets. This will create shared prosperity and a better future for one-third of the world’s population. He further said that this is an agreement that gives unprecedented market access to more than 99 percent of our exports, which will provide a tremendous boost to our labour-intensive sectors and strengthen ‘Make in India’.

What benefits will we get from FTA?

1. 97% tariffs on goods coming to India from EU will be reduced or eliminated.


2. There will be up to 99% tariff exemption on goods going from India to EU.


3. There will be big relief on cars, wine, chocolate, pasta, medicines and car parts etc.


4. Trade will increase on both sides, jobs will come and economies will strengthen.