‘Mother Of All Deals’: Modi Says India-EU Free Trade Pact Strengthens Democracy, Rule Of Law

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Prime Minister Narendra Modi on Monday linked India’s newly signed Free Trade Agreement (FTA) with the European Union to the country’s expanding energy ambitions, describing the pact as transformational for trade, manufacturing, and long-term economic growth. Addressing the fourth edition of India Energy Week (IEW) 2026 via video conference, Modi said the agreement strengthens India’s global partnerships while opening fresh opportunities across sectors.

India-EU FTA Seen As Global Economic Game-Changer

Referring to the recently concluded agreement, the Prime Minister underlined its global significance. “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”.

He said the deal reflects shared values and institutional strength. “This agreement empowers our 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”.

According to Modi, the India-EU FTA will work in tandem with the India-UK trade agreement, strengthening supply chains and boosting industrial growth.

Energy Sector At Core of India’s Growth Strategy

Speaking at India Energy Week, Modi positioned the energy sector as a cornerstone of India’s economic rise. “India Energy Week has emerged as a global platform for both dialogue and action. Today, the energy sector presents immense opportunities in India. India is the world’s fastest-growing major economy. That means the demand for energy products here is continuously rising. In addition, India offers excellent opportunities to meet the world’s demand.”

He added that India’s expanding market makes it a natural destination for global energy investments, reiterating that the country is a “land of opportunities for the energy sector as demand is continuously increasing”.

Oil Refining Expansion & Investment Targets

Highlighting infrastructure expansion, the Prime Minister said India is on track to become the world’s largest oil refining hub. He announced that the country’s refining capacity will be expanded from 260 million tonnes to 300 million tonnes in the coming years.

Modi also outlined ambitious investment goals, stating that India is targeting investments of USD 100 billion in the oil and gas sector by the end of this decade. He noted that the India-EU Free Trade Agreement would further support these plans by boosting manufacturing, facilitating services, and attracting technology and capital into the energy ecosystem.