Why in the News?

A large delegation of European Commission College of Commissioners is in New Delhi for a two-day visit.

What’s in Today’s Article?

• Introduction (Context, Statistics, etc.)
• India-EU Cooperation (Key Areas of Cooperation, Conclusion)

Introduction:

• A high-level delegation of 22 out of 27 European Commissioners, led by European Commission (EC) President Ursula von der Leyen, visited New Delhi for a two-day visit.
• This visit, the first of its kind, underscores the deepening engagement between India and the European Union (EU) across multiple sectors, including trade, technology, green energy, and defence.
• The visit coincided with meetings of the India-EU Trade and Technology Council (TTC), bilateral discussions between Indian ministers and EU Commissioners, and a leaders’ summit, all aimed at fostering greater cooperation and investments.

A Longstanding Partnership:

• India established diplomatic ties with the European Economic Community (EEC)—the forerunner to the EU—in 1962.
• Over the decades, relations have expanded significantly, with key milestones including:
  • 1993: Signing of the Joint Political Statement.
  • 1994: Establishment of the Cooperation Agreement.
  • 2000: The first India-EU Summit in Lisbon.
  • 2004: Upgrading relations to a Strategic Partnership.
  • 2020: Adoption of the India-EU Strategic Partnership Roadmap to 2025.
• Prime Minister Narendra Modi and EC President Ursula von der Leyen have met multiple times, strengthening diplomatic engagements.
• Their discussions have spanned topics like climate action, global trade, and regional security.

Key Areas of India-EU Cooperation:

• Trade and Investments
  • India and the EU have been negotiating a Free Trade Agreement (FTA) for over 15 years, with discussions resuming in 2021.
  • The EU remains India’s largest trading partner in goods, with trade increasing by 90% over the past decade.
  • Key trade statistics (FY 2023-24):
    • Bilateral trade in goods: $135 billion (Indian exports: $76 billion; imports: $59 billion).
    • Bilateral trade in services: $53 billion (Indian exports: $30 billion; imports: $23 billion).
    • EU’s FDI in India (2000-2024): $117.4 billion (16.6% of total FDI equity inflows).
    • Indian FDI in the EU (2000-2024): $40.04 billion.
  • The FTA aims to reduce tariffs, boost investments, and strengthen trade ties between the two economic powerhouses.
• Technology and Digital Cooperation
  • India and the EU are collaborating on emerging technologies, especially in response to China’s rapid advancements in digital infrastructure.
  • The India-EU TTC, launched in 2022, focuses on:

• Digital and Strategic Technologies
• Clean and Green Technologies
• Trade, Investments, and Resilient Supply Chains
• Semiconductor Collaboration: A MoU on semiconductor R&D was signed in November 2023.
• Supercomputing Initiative: India and the EU signed an Intent of Cooperation in High-Performance Computing (HPC) in 2022.
• AI and Cybersecurity: The EU participated in the Global Partnership on AI Summit in New Delhi (2023).

• Green Energy Cooperation
  • Sustainability is a key pillar of India-EU collaboration, particularly in green hydrogen and renewable energy.
  • India-EU Green Hydrogen Cooperation Initiative: India was the exclusive partner at the European Hydrogen Week 2024 in Brussels.
  • The European Investment Bank (EIB) has committed €1 billion to fund Indian hydrogen projects.
  • Joint efforts are underway to establish a green hydrogen ecosystem in India by 2030.
  • These initiatives support India's Net-Zero by 2070 goal and the EU’s carbon neutrality targets.
• Defence and Space Collaboration
  • India and the EU have strengthened defence and maritime security cooperation, particularly in the Indo-Pacific region under the Enhanced Security in and with Asia (ESIWA+) program.
  • First India-EU Joint Naval Exercise: Held in October 2023 in the Gulf of Guinea.
  • Security & Counterterrorism: Both sides collaborate on piracy control, natural disasters, and cyber threats.
  • Space Cooperation:

• ISRO launched EU’s PROBA-3 mission in December 2024.
• India-EU collaboration on Chandrayaan-3, Aditya-L1, and Gaganyaan missions.
• People-to-People Ties
• The Indian diaspora in the EU includes a significant number of students, professionals, and researchers.
• Erasmus Scholarships: Over 6,000 Indian students have received Erasmus scholarships in the past two decades.
• Research Collaboration: 2,700+ Indian researchers have been funded by Marie Sklodowska-Curie Actions since 2014.
• Workforce Mobility: Indian professionals received 20% of EU Blue Cards in 2023-24, facilitating skilled migration.

Conclusion:

The visit of the European Commission College of Commissioners marks a historic milestone in India-EU relations. By deepening trade, technology, green energy, and defence cooperation, both sides aim to create a robust strategic partnership. The FTA negotiations, semiconductor R&D, and hydrogen projects will further strengthen bilateral ties, ensuring mutual economic growth and global leadership.

As geopolitical shifts unfold, India and the EU remain committed to building a resilient, sustainable, and secure future together.