India–EU FTA: “Mother of All Deals” in a Changing Global Trade Order | Duniya Is Hafte | Drishti IAS

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The global trading system is undergoing a fundamental transformation as old rules weaken and new geo-economic alignments emerge. Against this backdrop, the long-pending India–European Union Free Trade Agreement (India–EU FTA) has finally materialised. Negotiations that began in 2007 remained stalled for years, but recent global developments—particularly the United States’ protectionist trade policies, rising uncertainty in global markets, and China’s growing dominance over supply chains—have pushed India and the EU towards closer economic cooperation.

The agreement goes far beyond trade liberalisation. It reflects a strategic recalibration driven by declining faith in traditional markets, the need to diversify supply chains, and the weakening relevance of multilateral institutions like the WTO. For India, the FTA carries significant economic opportunities, strategic leverage, and long-term geopolitical implications in a changing world order. This video critically examines the background of the India–EU FTA, the factors that accelerated negotiations, and its economic, strategic, and long-term geopolitical implications from India’s perspective—making it highly relevant for UPSC and other competitive examinations.
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