An agreement between the two economic giants is expected to boost Europe's economy by 0.6 percent to 0.8 percent of its GDP and will result in growth and the creation of 400,000 jobs.

Japan is the EU's second-biggest trading partner in Asia after China and is the EU's seventh-largest trading partner globally.

Together, the EU and Japan account for more than one third of world GDP and the EU is Japan's third-largest trading partner, after China and the USA.

It is expected that EU exports to Japan could increase by 32.7 percent as a result of an FTA, while Japanese exports to the EU would increase by 23.5 percent.

Source: British International Freight Association