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India and EU announce landmark trade deal
The European Union and India have announced a landmark trade deal after nearly two decades of on-off talks, as both sides aim to deepen ties amid tensions with the US.
“We did it, we delivered the mother of all deals,” European Commission President Ursula von der Leyen said at a media briefing in Delhi. Indian Prime Minister Narendra Modi called the deal “historic”.
It will allow free trade of goods between the bloc of 27 European states and the world’s most populous country, which together make up nearly 25% of global gross domestic product and a market of two billion people.
The pact is expected to significantly reduce tariffs and expand market access for both sides.
Von der Leyen and European Council President António Costa are in Delhi, where they met Modi at a bilateral summit.
The European Commission said the agreement would eliminate tariffs on most exports of chemicals, machinery and electrical equipment, as well as aircraft and spacecraft, following phased reductions. Significantly, duties on motor vehicles, currently as high as 110%, would be cut to 10% under a quota of 250,000 vehicles. That is six times larger than the 37,000-unit quota India granted to the UK in a deal signed last July, Bloomberg reported.
India’s deal with the EU is set to lower costs for European products entering the country – such as cars, machinery and agricultural food items, after import duties are reduced.
Brussels said the agreement would support investment flows, improve access to European markets and deepen supply-chain integration.
Delhi said almost all of its exports would get “preferential access” into the EU, with textiles, leather, marine products, handicrafts, gems and jewellery set to see a reduction or elimination of tariffs.
While commodities such as tea, coffee, spices and processed foods will benefit from the agreement, Delhi “has prudently safeguarded sensitive sectors, including dairy, cereals, poultry, soy meal, certain fruits and vegetables, balancing export growth with domestic priorities”, it said.
Delhi and Brussels have also agreed on a mobility framework that eases restrictions for professionals to travel between India and the EU in the short term.
“This is India’s biggest free trade agreement,” Modi said. “It will make access to European markets easier for India’s farmers and small business. It will also boost manufacturing and services sectors. It will boost innovative partnerships.”
The trade deal comes as both India and the EU contend with economic and geopolitical pressure from the US.
Delhi is grappling with 50% tariffs imposed by President Donald Trump last year amid talks aimed at securing a trade deal between India and the US that are still dragging on.
Last week, Trump threatened to escalate his trade war with European allies for opposing a US takeover of Greenland, before backing off.
That larger geopolitical context was evident in statements made by leaders.
On Tuesday, von der Leyen said: “This is the tale of two giants – the world’s second and fourth largest economies. Two giants which chose partnership in a true win-win fashion. A strong message that co-operation is the best answer to global challenges.”
A day before that Costa had said, without naming the US, that the trade deal would send an “important political message to the world that India and the EU believe more in trade agreements than in tariffs” at a time when protectionism is on the rise and “some countries have decided to increase tariffs”.
Von der Leyen and Costa arrived in Delhi over the weekend and were the chief guests at India’s colourful Republic Day celebrations on Monday.
On Tuesday, the leaders posed for photos with Modi, with the bonhomie between them evident.
The formal signing is likely to take place only later this year, after the agreement is approved by the European Parliament and the European Council.
Alongside the trade agreement, India and the European Union are also advancing separate talks on security and defence co-operation, and climate action.
On Tuesday, India’s Defence Minister Rajnath Singh said he had discussed a range of bilateral security and defence issues with the European Commission’s vice-president Kaja Kallas, including opportunities to integrate supply chains to build trusted defence ecosystems and develop future-ready capabilities.
The two sides are working on a draft security and defence partnership covering areas such as maritime security, cyber threats and defence dialogue, Reuters news agency reported.
The EU is India’s largest trading partner in goods, with bilateral merchandise trade reaching $136bn (£99.4bn) in 2024-25, nearly doubling over a decade.
Talks for a deal between them started in 2007 but stalled in 2013 over roadblocks in market access and regulatory demands. Discussions were formally restarted in July 2022.
Officials from both sides worked hard over the past few days to finalise outstanding chapters of the agreement, aiming to wrap it up before the EU leaders’ visit.
The agreement comes as pressure grows on Delhi and Brussels to secure alternative markets for exporters.
In the past seven months, India signed major trade agreements with the UK, Oman and New Zealand, and a 2024 pact signed with the four-nation European Free Trade Association bloc of Switzerland, Norway, Iceland and Liechtenstein has come into effect. It signed a trade pact with Australia in 2023.
The EU, meanwhile, signed a trade deal with South American trade bloc Mercosur earlier this month after 25 years of negotiation.

[BBC]
Foreign News
Largest ever cocaine bust in Australia after police raid underground bunker
Australian police have seized 2.7 tonnes of cocaine – the country’s largest ever such bust – from an underground bunker system in western Sydney.
The drugs, with an estimated street value of A$816m (£433m, €500m), were found on Friday in compartments concealed beneath false floors in three shipping containers at a property in Londonderry.
Two men aged 21 and 25, who allegedly attempted to flee from police, were arrested at the scene and charged with possessing a commercial quantity of an unlawfully imported border-controlled drug.
Police say the cocaine was smuggled into Australia via the small town of Midge Point in North Queensland on the orders of an organised crime group.
The two men, who were remanded in custody after appearing in court on Saturday, face life in prison if convicted.
Police said the raid on the Londonderry property was part of “Operation Minjiang” which was launched in May after 40kg of cocaine was found floating in the water off a boat ramp at Midge Point.
Another six people in Queensland and New South Wales were arrested and charged as part of investigations sparked by the find, police said last week.
An alleged “mother vessel” suspected of being part of the smuggling operation has also been detained in Solomon Islands.
Despite its remoteness, Australia is a lucrative market for the drugs trade, with cocaine typically fetching around A$300 per gram, according to an illegal drugs monitoring system run by the University of New South Wales.
Australians and New Zealanders also have the highest cocaine use rates in the world, according to last year’s UN World Drug Report.
Australian Federal Police Commander Stephen Jay said the alleged plot showed “how highly organised and determined these criminal networks are, and the extreme lengths they are willing to go to in pursuit of profit.
“Investigations into the origin of the drugs remain ongoing, and we will work with our international and domestic law enforcement partners to identify the criminal syndicates and anyone else involved in facilitating this alleged attempted drug import.”
(BBC)
Latest News
Mohamed Salah scores as Egypt beat New Zealand for first World Cup win
Liverpool star Mohamed Salah scored his first goal of the tournament as part of a second-half flurry to deliver Egypt their first-ever World Cup victory, 3-1, over New Zealand in Vancouver.
Both Salah and Mostafa Zico bagged a goal and an assist apiece as Egypt rallied from a 1-0 half-time deficit and took over first place in Group G on Sunday. Trezeguet scored Egypt’s third goal for late insurance.
Salah celebrated his 68th international goal by pumping his fist before he was mobbed by his teammates in the 67th minute to the delight of the red-clad Pharaohs fans in the sellout crowd at BC Place, Vancouver.
When Salah was substituted in the 85th minute, he was treated to a standing ovation.
The first three matches of Group G ended in draws, including Belgium and Iran posting a scoreless tie earlier on Sunday, leaving the group open for the taking. New Zealand (0-1-1, 1 point) thought they were on that path after Finn Surman’s headed goal off a 15th-minute set piece gave them a lead they held for nearly half the match.
Egypt will finish the group stage against Iran on Friday, all but assured of advancing to the knockouts no matter the result. New Zealand, still seeking their own first World Cup win, will take aim at Belgium on the same day in their hopes of advancing.
Mostafa Shoubir made four saves for Egypt, while Max Crocombe recorded four for New Zealand.
New Zealand earned their go-ahead corner kick when Elijah Just had a strong effort on target, and Shoubir sent it out of bounds.
Tim Payne’s ensuing corner found Surman in space. Surman’s jumping header went past a helpless Shoubir to give the All Whites the lead.
Egypt had a promising look in the 35th minute on a free kick from the edge of the box after Callum McCowatt picked up a yellow card for a poor tackle. A teammate laid the ball off for Salah, whose attempt on goal missed to the left.
Egypt had more control and more of the chances in the second half, starting immediately when Salah pressured Crocombe into a save less than 40 seconds in.
But the Pharaohs finally broke through in the 58th minute. Mohamed Hany landed a perfect cross for Zico, whose header near the 6-yard line struck Crocombe’s glove on its way in.
Salah’s turn came nine minutes later. Zico connected with Salah up the right side on a transition play. He dribbled around his man into the box and tapped a pass ahead to Zico, who back-heeled it into a pocket of space for Salah to finish with a left-footed shot to the bottom-left corner.
Trezeguet wrapped up the match in the 82nd minute on another header from a corner kick. Salah sent in a low offering, and Trezeguet was unmarked as his diving header bounded in. It was Trezeguet’s 24th career goal in an international competition and his first at a World Cup.
“In years to come, we will remember that this was one of the achievements in history,” Salah said.
He praised the large Egyptian contingent in the crowd, saying: “It feels like we are playing in Egypt. It’s a great win and great vibe.”
[Aljazeera]
Latest News
Lamine Yamal scores first World Cup goal as Spain thrash Saudi Arabia
Inspired by Lamine Yamal, Spain strolled to a 4-0 win over Saudi Arabia in Group H, as Mikel Oyarzabal restored his reputation with two goals and Luis de la Fuente’s side found their groove after an underwhelming World Cup opener.
Yamal opened the scoring in the 10th minute on Sunday and Oyarzabal, who failed to register a touch in the opening half hour in Monday’s scoreless draw with Cape Verde, scored twice in quick succession as Spain had the game wrapped up by half-time.
An own goal shortly after the interval failed to reopen the floodgates, as Spain used the opportunity to make changes and rest their scorers.
De la Fuente celebrated his 65th birthday in style, and Yamal, whose only football in the last two months came as a substitute against Cape Verde, sparked life into the team that returned to Atlanta Stadium.
A huge cheer greeted Yamal’s first touch, twisting and turning his marker before playing a teasing cross that was cleared by Abdulelah Al-Amri, the scorer of Saudi Arabia’s goal in their 1-1 match with Uruguay.
The opening goal came with Oyarzabal sending an inviting ball across the box, and Yamal being there to slide in at the back post and score his first World Cup goal.
Having toiled in vain in their opening game, Spain relaxed after the goal, and began to carve open the Saudi defence at will, and the second goal came from a corner.
Dani Olmo sent the ball back into the mix, and after the Saudis failed to clear it, Aymeric Laporte nodded down to Oyarzabal, who bundled the ball into the net.
Three minutes later, Spain were in again with a beautifully worked goal. Pedro Porro floated a pass into the area and the ball never touched the ground until it found the net.
Marc Cucurella’s hooked pass found Olmo, who headed into the six-yard box for Oyarzabal to tap it in on the volley, as the striker proved that given the right service, he is Spain’s man to deliver
Spain replaced Yamal and Oyarzabal for the second half, but picked up where they left off when the Saudi goalkeeper blocked Cucurella’s volley from a corner and the ball ricocheted off defender Hassan Al-Tambakti and into the net.
The European champions continued to create chances, but understandably took their foot off the gas on a day when even Vozinha, Cape Verde’s 40-year-old hero keeper, would have struggled against this version of Spain, who look back to their best.
Spain advance to four points in the standings, while Saudi Arabia stay on one after two games each. The other teams in the group, Cape Verde and Uruguay, meet later on Sunday in Miami.
Oyarzabal said he was happy to get the win and to have given his own performance after criticism of how he played against Cape Verde.
“It’s not about proving myself. I’ve always said I feel loved by my teammates, the coach, the staff day to day. That’s what counts for me,” he told the media.
“People will talk outside. We know how the football world works, but we have to stay relaxed.”
Yamal said it was a “dream” to score in a World Cup.
“I watched the last World Cup from a classroom, so being able to score here with my mum and my family in the stands is a dream come true,” he said.
[Aljazeera]
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