India and the European Union have agreed to finalize a long-pending free trade agreement this year and boost cooperation in trade, technology, connectivity and defense.

India and the European Union will try to seal a trade deal during this year, European Commission President Ursula von der Leyen said on Friday.

India and the EU must take their strategic ties to the "next level" in an era of great power competition and geopolitical turmoils and the relationship has the potential to be one of the defining partnerships of this century,