India, Jan. 27 -- Imported European alcohol, including premium wines, spirits and beer, is set to become significantly cheaper in India following the landmark free trade agreement (FTA) between India and the European Union, billed as the "mother of all deals".

Under the pact, India will sharply reduce import duties on alcoholic beverages, which currently rank among the highest in the world, opening the door for lower retail prices and wider availability of European brands.

Track live updates on India-EU trade deal here

Import tariffs on wines, currently as high as 150%, will be brought down to 20% for premium wines and 30% for medium-range wines, according to a statement released by EU after the pact was signed.

This steep reduction i...