00:00यह सम्झ होता भारत के 140 करोड लोगों और यूरोपिय देशों के करोडों लोगों के लिए बहुत बड़े अवसर लेकर आया है
00:24In a world of rising tariffs, fractured supply chains and growing trade uncertainty, India and the European Union have just delivered rare good news.
00:40On January 27th, India and the EU unveiled a landmark free trade agreement, ending more than a decade of stalled negotiations
00:50and opening the door to deeper economic integration between two of the world's largest markets.
00:57Together, India and the EU represent nearly one quarter of global economic output and a combined consumer base of almost 2 billion people.
01:08The timing of this deal is no accident. With US President Donald Trump threatening new tariffs and pushing a more protectionist trade agenda,
01:17both India and Europe are accelerating efforts to diversify economic partnerships and reduce over-reliance on any single market.
01:27Negotiations that first began over a decade ago were revived in 2022 and fast-tracked after direct political backing from Prime Minister Narendra Modi
01:38and European Commission President Ursula von der Leyen.
01:42The scale of the agreement is massive. Bilateral trade in goods has already crossed 136 billion dollars.
01:50But economists say the FTA could significantly deepen value chain integration, reduce costs and boost long-term investment flows.
02:00India's trade secretary Rajesh Agrawal called it a balanced, forward-looking deal that will propel trade and investment on both sides.
02:10Automobiles were the most politically sensitive issue in the negotiations.
02:21India currently imposes import duties of up to 110% on foreign-made cars, especially in the premium segment.
02:30Under the new agreement, tariffs on European manufactured vehicles are expected to fall to around 40%.
02:38That shift dramatically changes the economics of selling European cars in India.
02:44For Indian consumers, especially in the premium and electric vehicle space, the impact could be significant.
02:51European brands like BMW, Mercedes, Audi, Volvo and Volkswagen will be able to price vehicles more competitively.
03:00Luxury electric vehicles such as the BMW iX, Mercedes EQS and Audi Q8 e-tron stand to benefit the most.
03:10At the same time, India has protected domestic mass-market manufacturers, keeping budget EVs largely insulated from direct competition.
03:20Europe's gains go beyond cars.
03:23The EU will receive improved access to one of the world's fastest-growing consumer markets,
03:29while India lowers tariffs on select European goods, including wines and industrial products.
03:36In return, Indian exports – textiles, garments, jewelry, chemicals, pharmaceuticals and electronics – will enjoy wider and more predictable access to European markets.
03:48Sensitive farm and dairy sectors have been excluded to protect Indian farmers.
03:53Today, India exports nearly $76 billion worth of goods to the EU.
03:59Refined petroleum products lead the list, followed by electronics, where smartphones account for over $4 billion, underscoring India's rise as a global electronics assembly hub.
04:12These sectors already face low tariffs, meaning the FTA's biggest gains will come from manufacturing scale, stability and long-term investment.
04:22India's imports from Europe are concentrated in high-tech and capital-intensive sectors.
04:28Machinery, aircraft, medical devices, electronics components and specialized medicines form the backbone of EU exports to India.
04:38These inputs are critical for India's infrastructure build-out, electronics ecosystem, healthcare system and clean energy ambitions – areas where domestic production alone cannot yet meet demand.
04:51India has also pushed back against EU carbon-related trade barriers, particularly levees affecting steel, aluminum and cement.
05:07The FTA is expected to help offset some of these pressures by offering alternative competitiveness pathways as Europe tightens climate-linked regulations.
05:17Officials see the deal as a tool to balance sustainability goals with economic growth.
05:24I think this is the best culmination of India's trade deal with the European Union have achieved, especially after so many years of discussion between the two sides since 2007.
05:38And that stopped it and then started in 2022. And I believe this is going to be a beneficial for both the sides, especially at the time when India is celebrating its 77th Republic Day.
05:50And this not only will put India in the forefront as an emerging power, but also it will help India in gaining mileage with the relation with the European Union in a political issue, especially in the international arena.
06:03I think that she's rightly saying it because actually what's happening for the European Union after the President Trump have already put all these tariffs and threatening the Greenland's annexations and also threatening the European countries.
06:18I mean openly. It is a clear indication that the European Union is very much keen on searching for a market, which could be in India as the ultimatum for them, like 1.45 billion people are here.
06:31You are having it's the second largest market in the world. And for them, it is also an advantage for India that they will be less relying on also in China.
06:41The deal is finalized but not yet active. The text will undergo legal review over the next five to six months, followed by formal signing and ratification. Approval by the European Parliament will be required before implementation.
06:59This agreement could redefine India-Europe economic ties for decades, just as global trade enters a far more uncertain era.
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