India-EU FTA to Deepen Trade, Tech Ties: Austria Says EU

• The EU-India FTA will create a large free trade zone, reducing tariffs on exports
• Focus on artificial intelligence as a key area for future partnership
• Emphasis on balanced interdependence in supply chains for closer economic ties

Alexander Proll, State Secretary of Austria's Federal Chancellery, described the EU-India Free Trade Agreement (FTA) as a major advancement in economic partnerships between the two regions.

The India EU FTA and India EU trade agreement are set to strengthen India EU free trade agreement outcomes through enhanced India EU tech cooperation and Austria India EU FTA support, reinforcing the EU India partnership, India Europe trade relations, and FTA negotiations India EU, while advancing technology cooperation India EU under global trade agreements 2026 to deepen India EU economic ties and expand bilateral trade India EU.

The agreement will create significant benefits for trade, artificial intelligence development and supply chains, serving 200 million people through the establishment of the world's largest free trade zone.

Proll stated, “Prime Minister (Narendra) Modi visited Austria in 2024 because of 75 years of the diplomatic relationship and now, we have the free-trade agreement. It is the mother of all deals. I think it is a win-win situation for the whole European Union and India”.

The FTA negotiations were relaunched in 2022 after years of discussions. The upcoming agreement will establish tariff reductions or complete tariff elimination for 96.6 percent of EU products exported to India and 99.5 percent of Indian products exported to the EU, according to trade value.

Also Read: India-EU FTA Unlocks $750 Billion Electronics Market

Proll identified artificial intelligence as a key area for future collaboration, marking it as a critical step following digitalization. “Our principle is that AI should serve for people ... a human-centred AI. We build human-centred AI around people to save democracy and make innovation happen. I think that is the way we can learn from each other”, he added.

He also stressed the importance of building balanced interdependence in supply chains, which he believed should be achieved through increased economic ties instead of maintaining isolation.

“It is not about being isolated, it is about creating dependencies on both sides. So it is all about getting closer to each other and the FTA is one part of putting the countries more together”, Proll noted.

The agreement is currently undergoing its final legal and institutional approval process, which requires both European Parliament ratification and the completion of Indian domestic approval procedures. The implementation process will begin in the upcoming months and extend for one year.