The India-EU Free Trade Agreement (FTA) will create new opportunities for industries, investors, and innovators, Prime Minister Narendra Modi has said.
The two sides are already working together in areas such as digital technology, clean energy, semiconductors, resilient supply chains, and innovation under the India-EU trade and technology council, Modi said at an India-EU industry roundtable in Sweden on Sunday.
“Political, economic, and strategic convergence between India and Europe is important for peace and stability across the world….The Security and Defence Partnership and the Mobility Agreement have given new strength to our strategic and people-centric partnership,” the Indian PM noted.
The roundtable was also attended by President of the European Commission Ursula von der Leyen, Prime Minister of Sweden Ulf Kristersson and senior representatives and CEOs from leading European and Indian companies.
The India-EU FTA negotiations, which will lead to elimination of tariffs on over 90 per cent of goods on both sides, were formally concluded in January 2026. Following the legal scrub, the agreement will need to be formally ratified by both sides including consent from the EU Parliament.
Focussing specifically on India and Sweden relations, Modi said there is tremendous potential for cooperation in high-tech sectors such as AI, health-tech, and green mobility. “A large business delegation from Sweden participated in the AI Impact Summit held in India this year. We will work on concrete initiatives to strengthen the Sweden–India Technology and AI Corridor. To strengthen connections between the startups and research ecosystems of both countries, we are going to establish the India - Sweden Science and Technology Centre,” he said.
Modi’s two-day visit to Sweden is part of his ongoing five-country tour. The PM already visited the UAE and the Netherlands and is now embarking on the last leg of his tour to Norway and Italy.
There is also strong convergence between India and Sweden in our thinking on climate change and sustainability. Modi announced that the two countries had now decided to start work on the third phase of the Leadership Group for Industry Transition, or LeadIT, a joint global initiative focusing on low-carbon industrial transformation.
“India is doing major work in areas like green hydrogen, the circular economy, and sustainable infrastructure. By bringing together Sweden’s technology and India’s scale, we can create climate solutions that benefit the whole world. India and Sweden’s cooperation in the Arctic region is also playing an important role in improving global understanding of climate change,” the PM said.
Published on May 18, 2026