‘Mother of All Deals’ Set to Reshape Global MedTech as India–EU Pact Takes Effect

Healthcare emerges as the biggest winner as the landmark FTA opens Europe’s vast medical market to Indian innovation

The recently concluded India–European Union Free Trade Agreement is being hailed as a game changer, but not for the reasons many expected. While early attention focused on sectors like automobiles and textiles, experts now say the most powerful gains may come from healthcare, pharmaceuticals, and medical technology.

At the center of the agreement is expanded access for Indian manufacturers to the European Union’s massive pharmaceuticals and medical devices market, valued at over $570 billion. Indian policymakers describe this as a strategic opportunity to scale healthcare manufacturing, create skilled jobs, strengthen small and medium enterprises, and deepen India’s role in global medical supply chains.

Global research firms echo this view. A new study from Frost & Sullivan describes the deal as a “supply-chain reset, positioning India as a reliable healthcare partner in a world seeking alternatives to over concentrated trade routes. Medical devices diagnostics, APIs, and health-tech components, all heavily dependent on cross-border production, stand to benefit from lower trade costs, smoother logistics, and closer regulatory cooperation.

Germany’s Kiel Institute for the World Economy highlights India’s strength as the world’s largest producer of generic medicines by volume. With high chemical tariffs eliminated and regulatory barriers reduced, Indian pharma and MedTech exports to Europe are expected to rise sharply. The credibility Indian suppliers built during the COVID-19 crisis further strengthens this momentum.

For MedTech specifically, the elimination of tariffs on most medical instruments and diagnostic equipment could make Indian products significantly more competitive in Europe. Industry leaders stress that success will depend on smart regulatory alignment and fair competition.

Beyond exports, experts say the deal could improve global access to essential medical technologies, making healthcare supply chains more resilient, predictable, and affordable. Over time, the agreement may not just reshape trade flows, but also strengthen healthcare outcomes on both sides of the globe.