Davos [Switzerland], January 20 (ANI): The European Union is close to finalising a free trade agreement with India, though some steps are still pending to complete the deal, European Commission President Ursula von der Leyen said while addressing the World Economic Forum in Davos on Tuesday.

'There is still work to do. But we are on the cusp of a historic trade agreement. Some call it the mother of all deals. One that would create a market of 2 billion people, accounting for almost a quarter of global GDP,' she said in a section of her speech focused on the EU's efforts to broaden and diversify its trade partnerships.

She further linked the trade push to upcoming high-level engagement, saying she will travel to India next weekend after the conclusion of the World Economic Forum in Davos. She described the trip as part of ongoing efforts to advance the major trade agreement and said there is important work to be done to strengthen economic ties and deepen cooperation between Europe and India.

Placing the proposed India agreement within Europe's wider global approach, von der Leyen said the continent remains committed to doing business with partners worldwide and stressed that the EU will continue to pursue engagement. 'Europe will always choose the world, and the world is ready to choose Europe,' she said, underlining Europe's intent to expand international trade and cooperation.

Explaining the policy direction behind this outreach, she added that the focal point of Europe's strategy is to create a stable and well-regulated environment that supports investment, boosts trade and enables sustainable economic growth.

Alongside trade and investment priorities, von der Leyen also highlighted energy as a key pillar of Europe's growth strategy, saying Europe aims to build an energy union that ensures homegrown, reliable and cheaper energy to drive economic growth. She added that the continent needs an 'urgency mindset' to address energy challenges and secure a sustainable future.

Reflecting broader strategic priorities beyond the economy, von der Leyen said Europe has achieved more in defence in the past year than in the decades before, with member states stepping up investments to record levels. She also said that three leading European defence technology startups have now reached unicorn status, reflecting Europe's growing innovation and strength in the defence sector.

In the backdrop of this expanding India-EU engagement, President of the European Council Antonio Luis Santos da Costa and President of the European Commission Ursula von der Leyen will attend the 77th Republic Day celebrations at Kartavyapath on January 26 as Chief Guests.

At the invitation of Prime Minister Narendra Modi, the two European Union leaders will undertake a three-day State Visit to India from January 25.

During their visit, the leaders will also co-chair the 16th India-EU Summit on January 27. President Costa and President von der Leyen are scheduled to meet President Droupadi Murmu and will hold restricted as well as delegation-level talks with Prime Minister Modi.

An India-EU Business Forum is also expected to be organised on the sidelines of the India-EU Summit.

The Ministry of External Affairs (MEA) noted that India and the European Union have been strategic partners since 2004, and recalled that the 15th India-EU Summit was held virtually on July 15, 2020.

MEA further said that bilateral engagement has expanded and deepened across a wide range of areas, particularly following the historic visit of the EU College of Commissioners to India in February last year.

According to the MEA, the participation of EU leaders as Chief Guests at the 77th Republic Day celebrations and their presence at the 16th India-EU Summit will further deepen the India-EU Strategic Partnership and advance collaboration in priority areas of mutual interest. (ANI)