Unpacking India-EU summit and FTA, with EU ambassadors, experts

NEW DELHI: Amid a volatile international environment and competitive trade nationalism, the ambassadors of EU countries, including Italy, Estonia and Malta, voiced their optimism about the conclusion of the India-EU trade deal at the India-EU summit on January 27 and stressed that the FTA will also set the stage for an enduring transformation of defence and strategic partnership between the two sides that boast a combined GDP of $30 trillion.
“We supported, since the beginning, the conclusion of the FDA, to turn strategic rhetoric into actionable deals,” Italy’s Ambassador to India Antonio Bartoli said at a conference titled, “India-EU Summit: FTA and the Road Ahead,” in New Delhi on January 21.

“Senior leaders usually avoid public optimism so close to the finish line. The fact that this was said openly suggests strong political backing on both sides,” the Italian envoy said. He was alluding to remarks by European Commission President Ursula von der Leyen on January 21, 2026 at Davos where she said that the EU was “on the cusp” of signing the “mother of all deals,” with India, giving the 27-member bloc a potential “first-mover advantage”.
The conference was organised by think tanks, Centre for Global India Insights (CGII) and Chintan Research Foundation (CRF).

“In today’s world, certainty is disappearing,” said Maree Luup, Ambassador of Estonia to India. “If this FTA delivers stability, it will be its biggest contribution.”
Looking ahead, Manish Chand, CEO, Centre for Global India Insights, underlined that although the FTA has dominated public attention, the India-EU summit will go beyond trade and economics. “The summit, by definition, means scaling a new peak, and the India-EU summit will live up to this, elevating multi-faceted economic ties between India and the EU to new heights,” he said.

“This summit is about strategic recasting of the relationship amid a fractured and fracturing world order at a time when the only predictable thing is, paradoxically, unpredictability,” he said. “Taking the long view, the India-EU partnership could potentially become a “Third Pole” in this global disorder,” he said.
Putting the trade deal in the larger global backdrop, Shishir Priyadarshi, president of CRF, said: “In a world of trade disruption, rising tariffs and geopolitical tensions, an India–EU agreement sends a strong signal in favour of a rules-based international order.”
India and the EU account for nearly two billion people and over a quarter of global GDP.

Industry leaders and experts argued that the FTA, when concluded, would help diversify exports, deepen integration into global value chains and reassure investors about India’s long-term policy direction. “The EU has a very strong emphasis on sustainability, and India needs to recognise that,” said Anil Wadhwa, former Ambassador of India to Italy. “CBAM (Carbon Border Adjustment Mechanism) is increasingly being understood as something that could make Indian industry more competitive globally, not less.”
The FTA will also empower India and EU to enhance its room for manouevre in dealing with US’ unilateral trade aggression that has hurt economic prospects of both sides. The Italian envoy stressed the importance of strategic autonomy and said that the FTA comes at a time when economic multilateralism is non-existent and the WTO has become virtually deal. “This is not just about hedging risk,” Mr Bartoli said. “It is about choosing partners who believe in multilateralism and democratic values,” he said.
The Italian envoy also outlined prospects of cooperation between India and the EU in third countries such as Africa. “India and Europe should collaborate much more in Africa. You are the flag bearer of Global South,” he said.