Modi, Meloni set €20 billion trade target by 2029 in Rome talks
Synopsis
Modi and Meloni set a €20 billion trade target by 2029 in Rome — backed by a defence co-production roadmap, an IMEC recommitment, and a cultural year in 2027. The real test is whether the India-EU FTA, on which much of this hinges, can be concluded in time to make the numbers real.
Key Takeaways
PM Modi and Italian PM Giorgia Meloni agreed on 20 May in Rome to expand bilateral trade to €20 billion by 2029 .
Both sides called for early implementation of the India-EU Free Trade Agreement .
A Joint Declaration of Intent and an Industrial Roadmap for defence co-production were signed.
Leaders reaffirmed commitment to the India-Middle East-Europe Economic Corridor (IMEC) .
2027 will be celebrated as the 'Year of Culture and Tourism between India and Italy' .
MoUs signed on the Lothal Maritime Heritage Complex and recruitment of Indian nurses for Italy.
Prime Minister Narendra Modi and Italian Prime Minister Giorgia Meloni on Wednesday, 20 May agreed to push bilateral trade to 20 billion euros by 2029, leveraging the India-EU Free Trade Agreement for early implementation. The commitment emerged from a joint statement issued after their talks in Rome, marking a significant step in deepening the two nations' economic partnership.
Trade and Investment Momentum
The two leaders acknowledged renewed momentum in bilateral economic and commercial ties, citing growing investments and efforts to build long-term collaborations. They welcomed the exchange of three Business Forums held last year and held a separate meeting with select Italian and Indian CEOs from sectors including defence, digital, energy transition, infrastructure, and logistics.
'Both leaders agreed to leverage the opportunities from the India-EU Free Trade Agreement and called for its early implementation,' the joint statement said.
Defence, Technology and Space Collaboration
A key highlight of the summit was the signing of a Joint Declaration of Intent in the defence sector, along with an Industrial Roadmap for co-design, co-development, and co-production of defence products. The leaders also called for greater collaboration in AI, semiconductors, and critical minerals, aiming to synergise India's skilled workforce with Italy's technological expertise.
Both sides welcomed ongoing collaboration between the Italian Space Agency and the Indian Space Research Organisation (ISRO), and expressed intent to strengthen commercial space ties further.
Connectivity, Heritage and People-to-People Ties
Modi and Meloni reaffirmed their commitment to the India-Middle East-Europe Economic Corridor (IMEC), pledging to advance concrete connectivity infrastructure projects. Two Memoranda of Understanding (MoUs) were signed — one on developing the National Maritime Heritage Complex at Lothal, Gujarat, and another on the recruitment of Indian nurses for Italy.
The leaders agreed to celebrate 2027 as the 'Year of Culture and Tourism between India and Italy' and acknowledged the valuable contribution of the Indian diaspora in Italy. They also committed to facilitating mobility for students, researchers, and academics between the two countries.
What Comes Next
Prime Minister Modi thanked Meloni for Italy's hospitality and extended an invitation for her to visit India at a mutually convenient time. With the India-EU FTA negotiations still in progress, the bilateral trade target of €20 billion by 2029 will hinge substantially on the pace and scope of that broader agreement. The defence industrial roadmap and the IMEC connectivity push are expected to be the two most closely watched deliverables in the months ahead.
Point of View
Especially as both India and Italy seek to diversify supply chains away from traditional dependencies. IMEC, meanwhile, has faced headwinds since its announcement; reaffirming it in a bilateral statement is politically useful but operationally thin without project-level timelines. The 2027 cultural year and the nurse-recruitment MoU reflect the breadth of the relationship, but the summit's credibility will ultimately be measured by FTA progress and defence co-production milestones, not by the number of agreements signed.
NationPress
8 Aug 2026
Frequently Asked Questions
What did Modi and Meloni agree on in Rome?
Prime Minister Narendra Modi and Italian PM Giorgia Meloni agreed on 20 May in Rome to expand bilateral trade to €20 billion by 2029, leveraging the India-EU Free Trade Agreement. They also signed a defence industrial roadmap and reaffirmed commitment to the IMEC connectivity corridor.
What is the India-EU Free Trade Agreement and why does it matter here?
The India-EU FTA is a comprehensive trade deal under negotiation between India and the European Union. Both leaders called for its early implementation, as the bilateral €20 billion trade target depends significantly on the market access and tariff reductions the FTA would unlock.
What defence agreements were signed between India and Italy?
A Joint Declaration of Intent in the defence sector and an Industrial Roadmap for co-design, co-development, and co-production of defence products were signed during the Modi-Meloni summit in Rome.
What is IMEC and what did the two leaders say about it?
The India-Middle East-Europe Economic Corridor (IMEC) is a proposed multi-modal connectivity route linking India to Europe via the Middle East. Modi and Meloni reaffirmed their commitment to its implementation and pledged to advance concrete infrastructure projects under the corridor.
What cultural and people-to-people agreements came out of the summit?
The two leaders agreed to celebrate 2027 as the 'Year of Culture and Tourism between India and Italy' and committed to facilitating mobility for students, researchers, and academics. An MoU was also signed on the recruitment of Indian nurses for Italy.
