With European leaders scheduled to attend the Republic Day celebrations followed by the India-EU leaders’ Summit next week, India and Europe are likely to announce the conclusion of the Free Trade agreement, sealing of a security and defence partnership pact and a framework for mobility of Indian workers.
Sources said that with European Council President Antonio Costa and European Commission President Ursula von der Leyen as the chief guests at the Republic Day celebrations, a minimal military contingent from the EU, featuring the military staff flag and flags of Operations Atalanta and Aspides, the naval operations of the grouping, will feature at the parade.
The EU leaders will be accompanied by a 90-member delegation that will include Foreign and Security Policy chief Kaja Kallas, Trade Commissioner Maros Sefcovic and Director Generals handling trade, energy and industrial policy.
During the summit on January 27, the two sides are expected to adopt a document to announce the conclusion of the negotiations for FTA. Then the agreement will go through the legal vetting and scrutiny, followed by the ratification by the EU Parliament. The European Council will have to then give its nod, which will eventually lead to the trade deal being signed.
During the summit, India and the EU are also expected to announce a joint comprehensive strategic vision that will govern their relationship for 2026-30. Sources said both sides are still holding negotiations to find common ground on contentious issues like CBAM (Carbon Border Adjustment Mechanism), a framework for tariffs on carbon-intensive products such as steel and cement.
An agreement has also been reached on wines and spirits and there could be tariff-rate quotas for the automobile sector, sources said.
Sources said that both sides are looking at narrowing differences on steel.
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The EU and India had first launched negotiations for FTA in 2007, before the talks were suspended in 2013 due to differences. The negotiations resumed in June 2022.
The proposed Security and Defence Partnership (SDP) will facilitate deeper defence and security cooperation between the two sides. The SDP will bring interoperability in the defence domain and open up avenues for Indian firms to participate in the EU’s SAFE (Security Action for Europe) programme.
SAFE is the EU’s Euro 150 billion financial instrument designed to provide financial support to member-states to speed up defence readiness.
At the summit, India and the EU are also set to launch the negotiations for a Security of Information Agreement (SOIA), which is expected to strengthen industrial defence cooperation between the two sides.
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The MoU on facilitating the mobility of Indian workers to Europe is expected to be another key outcome of the summit.
It will provide a framework for advancing mobility initiatives by EU member states with India, the sources said. France, Germany and Italy are among European nations that have migration and mobility partnerships with India. Sources said that this is going to be a “historical moment” for both sides as they are moving forward on the strategic roadmap — that was followed after last year’s EU College of Commissioners’ visit in February, 2025.
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