Prime Minister Narendra Modi is expected to travel to Brussels for the official signing ceremony in December, McAllister told TOI in an interview.
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The “mother of all deals” will undergo rigorous scrutiny by the European Parliament, but the lawmaker said he was confident of smooth ratification, given the benefits it would bring to both sides. McAllister led an EU Parliamentary delegation to India this week.
“Though Parliament cannot amend the text of the agreement, our consent is required before it enters into force. I followed the debate in the European Parliament over the past months, and I can say there seems to be a broad majority support for this landmark FTA. The benefits for both sides are so huge that I’m sure the European Parliament will give its support in the consent vote,” he said.
FTA to deepen investment, reduce supply-chain dependencies
The agreement is expected to go beyond trade liberalisation, strengthening investment flows and helping both sides diversify supply chains amid growing concerns over economic dependencies and geopolitical risks.
McAllister said the EU would particularly welcome progress on a separate investment protection agreement, which could boost European investor confidence in India, encourage greater investments and contribute to job creation.He said the FTA would also allow India and the EU to work more closely on de-risking supply chains and reducing dependencies.
India, EU eye closer defence-industrial cooperation
On defence and security cooperation, McAllister backed closer collaboration between India and the European defence industry, saying it was in the interest of both sides. He identified information sharing, research cooperation and cybersecurity as key areas where the partnership could expand.
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“We in Europe, as part of our strategic sovereignty, want to reduce the dependence on one particular country, and I understand that the debate in India is very similar. You also want to step-by-step reduce your dependence, and I think this is a very good win-win situation for both sides,” he said.
McAllister also highlighted a convergence of interests between India and the EU in keeping the Indo-Pacific free and open, and reducing reliance on any one country.