India-EU FTA compliments trade deal, will boost manufacturing sector

By FnF Correspondent | PUBLISHED: 27, Jan 2026, 11:57 am IST | UPDATED: 27, Jan 2026, 11:57 am IST

Prime Minister Narendra Modi on Tuesday addressed the India Energy Week and said the India-EU Free Trade Agreement compliments India-UK trade deal, it will boost manufacturing sector and support services. PM Modi said that India's energy sector offers USD 500 billion investment opportunities and added that the country is targeting investment of USD 100 billion in oil and gas sector by end of this decade. PM Modi also said that India is land of opportunities for energy sector as demand is continuously increasing.

Yesterday a big agreement was signed between the European Union and India. People are calling this the mother of all deals. This agreement will bring major opportunities for the public in India and Europe. This is a perfect example of a partnership between two major economies of the world. This agreement represents 25 per cent of the global GDP and 1/3rd of global trade,” PM Modi said.

He stated that the agreement empowers the shared commitment towards democracy and rule of law. “This Free Trade Agreement with the European Union will also complement Britain and EFTA's agreements...I congratulate the people of the nation for this,” he said.

Earlier in the day, Defence Minister Rajnath Singh said that the signing of the technology and defence partnership between India and the European Union marks a significant step in bringing the two sides closer amid a complex global environment.

Rajnath Singh welcomes EU leaders' visit

While addressing the EU delegation led by EU High Representative for Foreign Affairs and Security Policy, Kaja Kallas, at Raksha Mantralaya, South Block, Rajnath Singh welcomed the EU leaders' visit, highlighting its special significance as it coincides with India's 75th Republic Day.

"Thank you for your visit to India, your visit is very special as it falls on the occasion of our 75th Republic Day. The occasion marks a milestone in the celebration of India's constitutional journey and the reaffirmation of our commitment to global peace and security," Singh said.

He added that the shared values of democracy, pluralism, federalism, and the rule of law form the foundation of India's growing partnership with the European Union. "Together we aim to translate these shared values into practical cooperation for global security, sustainable growth, and inclusive prosperity," Singh said.