UAE Welcomes India EU Free Trade Agreement, Calls It a Boost for Economic Openness

UAE Backs Landmark India EU Trade Pact​

The United Arab Emirates has welcomed the free trade agreement between India and the European Union, describing it as a major step toward strengthening economic openness and supporting sustainable growth.

In a statement issued on Friday, the UAE said the agreement reflects a shared commitment by India and the EU to free trade and economic cooperation, while also serving as a model for partnerships that promote long-term prosperity.

India and EU Seal Major Trade Deal​

India and the European Union earlier this week concluded what has been described as a landmark free trade agreement, creating access to a combined market of nearly two billion people. The agreement was unveiled by Prime Minister Narendra Modi along with senior EU leadership.

Alongside trade liberalisation, the two sides also announced a five-year agenda aimed at strengthening cooperation in trade and defence, with a focus on upholding a rules-based global order.

UAE Highlights Its Own Trade Partnership With India​

Commenting on the development, UAE Minister of State Saeed Al Hajeri said the India EU agreement demonstrates how comprehensive economic partnerships can support sustainable growth and shared prosperity.

The UAE also pointed to its own Comprehensive Economic Partnership Agreement with India as an advanced example of a strategic trade relationship built on mutual interests, deeper economic integration, and support for sustainable development. According to the statement, such agreements help deliver tangible benefits for all participating economies.

Hope for UAE EU Trade Agreement​

The UAE expressed optimism that its ongoing trade negotiations with the European Union would conclude positively, paving the way for a similar agreement between the two sides.

Reaffirming its commitment to international trade, the UAE said it would continue to support the expansion of strategic economic partnerships and stronger economic cooperation, driven by its belief in the role of free trade in promoting stability and prosperity at both bilateral and global levels.

Key Sectoral Gains From the FTA​

As part of the free trade agreement, India and the EU have also signed two additional pacts focused on security and defence collaboration, as well as the mobility of Indian talent to Europe.

Indian sectors expected to benefit from the agreement include textiles, apparel, leather goods, handicrafts, footwear, and marine products. European industries are set to gain increased access in areas such as wine, automobiles, chemicals, and pharmaceuticals.