### Landmark India-EU Trade Pact Unveiled 📈

India and the European Union have successfully concluded negotiations for a historic free trade agreement (FTA), dubbed the "mother of all trade deals." Formally announced today, the pact aims to counter rising global protectionism and serves as a strategic stabilizer against volatile trade tariffs. • Overall Trade Performance (2024-25): The EU remains India’s largest goods trading partner with total bilateral trade reaching US$ 136.53 Bn. Exports from India: US$ 75.85 Bn. Imports to India: US$ 60.68 Bn. Services Trade: Valued at US$ 83.10 Bn (2024). • Sectoral Impact & Tariff Changes: The deal is expected to eliminate or significantly reduce duties on over 90% of traded goods, particularly aiding labor-intensive sectors. Apparel & Textiles: Indian exports currently face 10-12% duties; the FTA will likely provide duty-free access, increasing competition for regional peers like Sri Lanka and Bangladesh. Automobiles: India is set to slash high import duties (currently up to 110%) down to 40% for EU vehicles. Key Growth Areas: Gems & jewellery, leather, electrical machinery, and pharmaceuticals are poised for rapid expansion. • Strategic Context: The agreement provides a vital alternative to US and China trade dependencies. For India, it restores competitiveness lost after the EU began phasing out GSP benefits. For the EU, it secures access to a US$ 4.2 Tn economy while diversifying supply chains. _Note: The deal is currently undergoing legal scrubbing; formal signing is expected later in 2026._